Skip to main content

Full text of "Public letters and papers of Locke Craig : Governor of North Carolina, 1913-1917"

See other formats



11 


IF. 




Library of the 
University of North Carolina 

Endowed by the Dialectic and Philan- 
thropic Societies. 






C*3.5'3.03-'C %'%G> 



ysPS 



91 

UNIVERSITY OF N C. AT CHAPEL HILL 



00034043623 

FOR USE ONLY IN 
rHE NORTH CAROLINA COLLECTION 



7 Wo. A-368, Rev. 8/95 




Digitized by the Internet Archive 

in 2011 with funding from 

Ensuring Democracy through Digital Access (NC-LSTA) 



http://www.archive.org/details/publiclett19131917nort 




<7Jhy/u. 




PUBLIC LETTERS AND PAPERS 



OF 



LOCKE CRAIG 



GOVERNOR OF NORTH CAROLINA 
] 913-1917 



COMPILED AND EDITED BY 

MAY F. JONES 

PRIVATE SECRETARY 



RALEIGH 

EDWARDS & BROUGHTON PRINTING COMPANY 

STATE PRINTERS 

1916 






^9 



FROM THE NORTH CAROLINA DEMOCRATIC HAND-BOOK, 1916 

"The figures throughout this article show that the four years under the adminis- 
tration of Governor Craig have been marked by the same character of service 
that has made the last sixteen years the most notable in North Carolina's history. 
At every point, in education, in agriculture, in manufacturing, it may safely be 
said that under Governor Craig's leadership the rate of progress, set by Aycock 
and kept by Glenn and Kitchin, has been more than maintained by him. In 
addition to this, the Craig administration has been marked by two achievements 
of the first magnitude — neither of them surpassed in the State's history: 

First, the adjustment of interstate freight rates, to enable North Carolina points 
to compete with points in other States. By this adjustment, demanded by Governor 
Craig in his inaugural address and pressed with great vigor throughout his adminis- 
tration, the saving to North Carolinians has amounted to millions of dollars — the 
evidence of which is seen in the flourishing condition of our commerce. 

Second, the improvement of our public highways, known as the Good Roads 
movement. This movement has in four years swept the State. One has but to go 
in any direction to realize the vast change for the better that has been wrought 
in four years. In such a matter it is difficult to state the facts in figures. We 
have now not less than 10,000 miles of improved highways ramifying the entire 
Commonwealth and enabling our farmers to market their products with ease and 
at their convenience, and bringing town and country closer together with immeasur- 
able benefit to both. 

"These two achievements have not been of the sensational sort; they are the 
result of courageous and patient leadership, wise planning and painful labor.' 
But as time passes our people will look back to the last four years and bear witness 
to the fact that Governor Craig's administration has in constructive achievements 
been unsurpassed, if ever equaled, since Vance rebuilt the Commonwealth upon 
the ruins of Republican "Reconstruction." He has given us a monumental evidence 
of political virility in the sixteenth year of unbroken Democratic service." — 
Pages 45 and 46. 



TABLE OF CONTENTS 

I Page 

Messages to the General Assembly 7 

II 
Reduction op Freight Rates 57 

III 
Proclamations by the Governor 133 

IV 
Highways 147 

V 
Parole of State's Prisoners 169 

VI 
State's Prisoners, Hiring of to Railroads, Etc 189 

VII 

Fraudulent and Repudiated North Carolina Bonds 195 

VIII 

Agreement of Atlantic Coast Line Railway Not to Remove Cases Pend- 
ing to Federal Courts 203 

IX 

Vance Statue Commission 209 

X 

Mitchell's Peak Pake 215 

XI 
Mobilization of the National Guard 223 

XII 

Relief of Flood Sufferers 231 

XIII 
Fisheries Commission 243 

XIV 
Highway Commission 247 

XV 
Supplemental 251 



(I) 

MESSAGES TO THE GENERAL ASSEMBLY 



MESSAGES TO THE GENERAL ASSEMBLY 1 

1. Inaugural Address, January 15, 1913. 

2. Opening of the Panama Canal. 

3. In regard to raising Revenue, March 6, 1913. 

4. Appointments submitted to the Senate for ratification, March 

10, 1913. 

5. Commission to consider amendments to the Constitution sub- 

mitted to the Senate for ratification, March — , 1913. 

6. Biennial Message to the General Assembly, Session 1915. 

7. List of employees, Governor's Office, with their salaries, 

January 8, 1915. 

8. Appropriation by Federal Government for cooperative Agri- 

culture extension work, January, 1915. 

9. Submitting letter from the Secretary of Agriculture, together 

with proposed bill for the protection of fish and game on 
lands in State purchased by Federal Government. 

10. Transmitting reports of the various institutions of the State, 

January, 1915. 

11. Appointments State Board of Education, submitted to the 

Senate for ratification, February 25, 1916. 

12. Appointments submitted to Senate for ratification, March 

6, 1916. 

13. Biennial Message to the General Assembly, Session 1911 . 

l These messages do not include those in regard to the Reduction of Freight Rate9. 



(1) 

INAUGURAL ADDRESS OF GOVERNOR LOCKE CRAIG 

DELIVERED AT RALEIGH AUDITORIUM, JANUARY 15, 1913 

Gentlemen of the General Assembly and My Fellow Citizens: 

Democracy gives to the people the pledge of progress. The thought of the age 
has created a nobler purpose in government. The Democratic party intends to 
effectuate this purpose by legislation in recognition of the equal rights of man, 
and for the progressive welfare of all the ranks of life. 

In our material prosperity, privilege has been substituted for justice. The 
vast wealth of modem industry, the products of labor and genius have not been 
divided in equity, but have been gathered into the enormous fortunes of the few. 

AMERICAN PEOPLE HAVE PUT THEIR HANDS TO THE PLOW 

We have not realized the moral benefits that should have resulted from modern 
progress. Avarice has been stimulated; hope and opportunity have been denied; 
antagonism and resentments have been generated. All classes have suffered. We 
realize the conditions; the injustice has been uncovered. It cannot stand in the 
clear, calm and resolute gaze of the American people. They are determined that 
our law shall be based upon a higher conception of social obligation and that our 
civilization shall mean a higher social life. They have put their hands to the plow 
and will not look back. 

THE LEAVEN" OF DEMOCRACY 

A new era has dawned; the last election marks the beginning of an epoch in 
our government. The Republican party had the prestige of victory and tradition ; 
it had the power of place and of organized wealth ; but it stood for privilege — it 
took from the republic its highest meaning, that equal justice is the inalienable 
heritage of men; it stood for that prosperity which is not the handmaid of moral 
and intellectual growth ; it stood in the path of the progressive thought of the age ; 
with all its power and prestige it was crushed. Like the leaven which the woman 
hid in three measures of meal, the leaven of Democracy has been at work. 

In this time of difficulty and hope the country turns for guidance to the Demo- 
cratic party. 

SPIRIT OF PROGRESS 

The spirit of progress pervades the Union and the people demand legislation 
responsive to the impulse of the age. 

North Carolina will not continue to march in the rear of the procession of the 
States. She is impatient for the advance. Throbbing with energy, potential with 
accomplishment, she looks expectant to this administration and to this General 
Assembly. I believe that you Senators and Representatives will perform your 
task with wisdom and courage and that your work will be for the welfare of this 
generation and of our posterity. The responsibility is ours, the opportunity is ours. 



10 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

IDEALS MILITANT FOE JUSTICE 

Constitutional government and the ideals of the fathers have ever been sacred 
to the Democratic party; but these ideals must be vital for practical accomplish- 
ment and militant for justice. It was said of the celebrated opinion of Chief 
Justice Taney, that "it gave the law to the North and the nigger to the South." 
We are not content with the forms and ceremonies of the law. The ideals of our 
government must be applied to present conditions. 

PROTECTION OF THE WEAK 

The first duty of the State is to protect the citizen in the enjoyment of his 
rights, to protect the weak from the oppression of the strong. This is what the 
men were doing at Runnymede. 

FREIGHT DISCRIMINATION 

The discrimination which the railroads have made against North Carolina in 
freight rates is the injustice of arbitrary power. It has already worked irrepar- 
able injury; it has already cost our people millions of dollars and driven from our 
territory industries the value of which we cannot estimate. These corporations 
have the protection of our laws, they operate by our license, they enjoy privileges, 
and exercise the sovereign power of eminent domain granted by the State. They 
collect excessive rates from our people that cheaper rates may be granted to the 
people of adjoining States. 

I feel no antagonism to railroads. I know that our welfare, to a large extent, 
is dependent upon their efficient operation, which can only result from just remu- 
neration. I know that their prosperity is coexistent with our prosperity. Besides, 
for no consideration can the State afford to be unjust. I intend, as the chief 
executive of this State, to administer her laws with impartiality and with even- 
handed justice to corporation and to individual, to the great and to the lowly. 
But when any corporation or any person shall persistently and defiantly by arbi- 
trary wrong cripple the industries of this State and despoil her people, such person 
or corporation may expect relentless resistance and resentment. 

OUGHT TO BE MORE TOLERABLE FOR SODOM AND GOMORRAH 

Vance said of those who were exploiting the State in 1876, that it ought to be 
more tolerable for Sodom and Gomorrah in the day of judgment than for such 
in North Carolina. The spirit of Vance and 1876 lives today. 

The city of High Point is to be congratulated that in the shipment of its 
furniture to the West it will have the same freight rate as rival cities of Virginia. 
The same rule must apply to all our cities and to all our commerce. 

WILL COMPEL JUSTICE 

This administration is ready to put into operation the executive power of the 
State to prevent the continuation of this wrong. I feel sure that this General 
Assembly is ready to exercise any constitutional power to compel justice. 

Is it possible that any person or any industry within our territory shall not be 
accorded by common carriers the same rights that are enjoyed by the people of 



MESSAGES TO GENERAL ASSEMBLY 11 

other States ? If this be so, then ours is a territory to move out of. And hundreds 
of industries have moved. "We occupy the land and boast of the lineage and bear 
the names of the Englishmen of Halifax and of the Scotch-Irish of Mecklenburg. 
"We have inherited Magna Charta, but it is worthless without the spirit of the men 
who made it. 

We will win. The State will receive immense benefit. Our industries will feel 
the impulse and new ones will spring up. 

north Carolina's tribute to monopoly 

North Carolina has paid, too, her quota of tribute to the rapacity of unlawful 
monopoly. We have been preyed upon by trusts abroad and by trusts at home. 
They take from the earnings of all. The poor must suffer most. The farmers 
especially have been plundered and oppressed in the open day, without hindrance, 
by a great concern adjudged now to be in violation of law. "We have been a 
patient, long-suffering people. In our platform there is promised legislation that 
"will make the existence of these concerns impossible." There is promised the 
enforcement of the civil and criminal law against the trust and against the man 
behind the trust. 

TRUST LAWS WITH HANDCUFFS 

In the fulfillment of this promise we need a trust law, clad in blue uniform, 
that can raid a trust den with a warrant and handcuffs in its hand. The guilty 
should be made to tremble, the innocent may fear not. While I am Governor no 
innocent man shall suffer by the criminal law. 

The cry will be raised that such legislation will injure business. The trust 
will shield itself, if possible, behind legitimate industry. It will paralyze, if it 
can, the hand of justice by warnings of disaster from the interference with business. 

DESTRUCTION OF PIRACY PROTECTION OF BUSINESS 

The destruction of piracy is the protection of industry. It is the duty of the 
State to protect and to encourage every enterprise, small and great. And this is 
the age of large enterprises. They are essential in the economy of our civilization 
and are the agencies of its tremendous power and accomplishment. "All the cur- 
rents of the time run to centralization. To successfully resist it we must throttle 
steam and discharge electricity from human service." But these forces should be 
for the service and not for the oppression of mankind. 

WATER POWERS 

One of the greatest works to be done in North Carolina is the development of 
her water powers. This enterprise is now beginning to assume its splendid pro- 
portions. It is potential with magnificent upbuilding. The energy of our rivers, 
which has been wasted in wild cataract and cascade, has been harnessed and driven 
to cities and towns in currents of power obedient for all manner of service. This 
industry should be welcomed and encouraged. The men behind it are benefactors 
of the State. The policy of our law is that the State shall regulate and control 
public-service corporations. These water powers are the natural agencies for 
public service. They are natural monopolies, and since the time of the ancient 
gristmills have been subject to governmental regulations. The corporations oper- 



12 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

ating these water powers for public use should be controlled by our corporation 
commission. This must be done eventually, and it is but fair and right that it 
should be done now. We should always remember, however, that remuneration 
should be in proportion to the boldness of the conception and to the risk of the 
enterprise. This is just. 

employee's liability law 

For the protection of the people who work in factories and on the railroads 
we should have an employer's liability law. It should provide reasonable compen- 
sation for injury or death, without the delay and the expense of litigation. This 
law should be just to employer and employee, and it would be to the advantage of 
both. It would eliminate the contingencies and expense objectionable to both. It 
is demanded by good business as well as by the progressive humanity of the age. 

From the task of protection we proceed to the grander task of construction. 

NORTH CAROLINA A FARMER STATE 

We have in North Carolina two and a half millions of people of pure English 
and Scotch-Irish blood. We rejoice in the enterprise and industry and courage 
of our urban population, and we honor our leaders in business, the master men 
who have built up and organized great industries and developed our expanding 
commerce. But this is essentially a farmer State, and will be for generations. 
We have no large cities. Eighty per cent of our population is rural — good, sturdy 
farmer folks. They grow and spend their lives in the country. Their destiny, 
the destiny of our commonwealth, the destiny of us all, must be determined by 
the conditions that exist in the country. 

NEGLECT OF HEALTH AND EDUCATION 

North Carolina is a grand old State, her past has been heroic in peace and in 
war. But we must confess with humiliation, that we have neglected our country 
children worse than any other State in the Union, save one or two. In the dis- 
charge of the sacred duty of protecting their health and the paramount duty of 
providing for their education, we stand among the lowest. We must expiate this 
sin before we can longer claim our noble heritage. 

NATURAL CONDITIONS OF HEALTH 

The State has been blessed with all the natural conditions conducive to health 
and strength. Sufferers from far countries come here to recover from disease and 
to renew the vigor of youth in our salubrious air. But we have allowed disease 
and death to stalk abroad at noonday. Most of the serious diseases are preventable 
diseases. Formerly the work of the doctor was to heal the sick, now it is to pre- 
serve health. The beneficence of scientific medicine is to drive back disease and 
suffering. Men and women and children suffer and die from causes that could 
be removed. They are deaf and dumb, and feebleminded, and are stricken with 
blindness and insanity, condemned to lives of darkness and hopelessness, not by 
the inscrutable decrees of Providence, but by the failure of society to protect them 
against the enemy more cruel than death. The courage and energy of a conquer- 
ing race must spring from robust health. 



MESSAGES TO GENERAL ASSEMBLY 13 

J 

PROTECTION OF HEALTH 

We must provide for the accurate record of births and deaths and the causes 
of disease in every community. We can thus ascertain with accuracy the sanitary 
conditions in each community and intelligently work for the prevention of disease 
and for the promotion of health. Each county and each city should have an intelli- 
gent, efficient, well-paid health officer. We can appeal to our citizenship through 
the press, the schoolhouse and the pulpit and encourage them to purer and more 
healthful home conditions, to the inestimable blessings of all the people. 

MILL MEN COMMENDED 

The mill men of North Carolina deserve commendation for the humane spirit 
with which they have cared for the health and education of their employees and 
the children of their employees. In many places they have provided schools and 
libraries and comfortable reading rooms. Some of the great organizers and heads 
of industries take the most active interest in the cleanliness of their factory towns 
and the welfare of their workers. But the State should not neglect her duty longer 
because individuals have sometimes done their duty. 

I doubt not that the General Assembly will ratify by statute the humane recom- 
mendations made for the protection of women and children by the committee of 
mill men and the committee of the Society for the Protection of Child Labor. 

EDUCATION OF COUNTRY CHILDREN 

The highest duty of society is the education of the children. The command to 
educate our country children has been thundered from the conscience of the age. 
When in obedience to the demands of the people and of justice to the child, the 
General Assembly shall provide for a sis months rural school, North Carolina will 
feel the impulse of an exalted hope. Then it will not be long before the stigma of 
ignorance will be wiped out, the stigma which through the long years has been our 
misfortune and our humiliation. 

This act of beneficent wisdom will reach down to the children of the lowliest 
and lift them up to a clearer vision. It will show them hope and endow them with 
a new strength. It will lift the whole State up and give to her a nobler and a 
grander meaning. And prosperity, and juster laws, and nobler institutions and 
ideals will follow in the train of universal enlightenment. 

COMPULSORY EDUCATION 

The time has come for the State to exercise her sovereign authority and compel 
the attendance of her children upon the schools. The child cannot work to advan- 
tage, but his mind is eager for knowledge and most retentive. His character is 
responsive to culture. The factory is no place for the child. The drudgery of 
toil is not his rightful inheritance before his bones are hard or his muscles are 
firm. If we grind the seed corn, there will be a failure in the crop of men. 

HIGHER INSTITUTIONS OF LEARNING 

Our institutions of higher learning must be sustained in their full vigor and 
efficiency. They are the dynamic centers of culture and are essential to the life 
of the State. If we should allow them to begin to degenerate, our whole educa- 
tional system would begin to lose its vitality and power. 



14 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 



CHARITABLE INSTITUTIONS 

Our eleemosynary institutions must be maintained in the high state of efficiency 
for which they have been noted. We must make provision for the deaf and the 
dumb and the blind and the insane and the feeble-minded. When in their distress 
and weakness they stretch forth their hands to us, they should not be driven back 
as were the blind men in the way to Jerusalem, for it was the Christ who said : 
"Inasmuch as ye did it unto the least of these, my little ones, ye did it unto me." 

PENSIONS FOE CONFEDERATE SOLDIERS 

I hope that you can provide a more generous pension for the Confederate 
soldiers. More than a half century ago they went in youth and strength to meet 
the invading host. Some fell amid the fierce tumult of historic days beneath the 
advancing flag, enshrined in eternal youth; many have passed since the war; the 
remnant of the heroic army is with us yet. Most of them are poor, all are disabled 
by age and the wounds and hardships of war. Our privilege to help them is 
closing, for the captains and the soldiers are departing. Soon it will be written 
what we did for the last of the battle-scarred men of Dixie. 

ENCOURAGEMENT OF AGRICULTURE 

We should encourage all of our industries, but especially should be stimulate 
the growth of agriculture. Its wonderful improvement is already an inspiration. 
Our farmers are beginning to reap the harvests of the intelligent utilization of 
the soil. 

We should provide by every feasible method, for their protection, and for their 
obtaining the credits and the means, that increasing prosperity may come. 

HIGHWAYS 

Improved highways are the arteries of the country. They create organized 
communities of isolated families and make these communities a part of the life 
of the great world. Dynamite and the steam shovel are making through the hills 
and through the granite of the mountains, pathways for the locomotive. The 
improved road would give the farmers access to the railroad, to the church, and to 
the school during all seasons of the year. Good roads stimulate improvement. 
They enrich the soil. They arouse ambition and generous emulation. They 
increase the value of every acre of land that they touch and the value of every 
man, woman and child whose home they pass. No community can hope for progress 
without the good road. We cannot have the benefits of modern civilization with- 
out it. It is not an expense; it is an investment that pays one hundred per cent 
dividend every year. And more, it brings culture and contentment and a better 
social life. Every community in the State must have it. The cost is much less 
than it was a few years ago. 

I think that a general statute should be enacted, conferring upon the townships 
the power to levy taxes and issue bonds for road construction and providing admin- 
istrative machinery. The counties can continue what they have been doing. The 
townships can complete and perfect the system. The State should supervise and 
encourage this great work by lending its credit and by all practicable, feasible 



MESSAGES TO GENERAL ASSEMBLY 15 

means. All available convicts should be worked on the public roads. In this way 
they can be used more appropriately and more to the advantage of the public than 
in the cultivation of the field or in the mechanical arts. 

HOPE OF FINEST DEVELOPMENT IS IN THE COUNTRY 

It is not strange that in the past thousands of young men and women, yearning 
for a larger life, have left the loneliness and poverty of the farm with its denial 
of culture and social enjoyment. These conditions are passing away ; the telephone 
now puts the home of the farmer in communication with his neighbors and with 
the men and the markets of the world. The mail carrier brings the daily paper 
pulsing with "the thoughts that shake mankind." The home on the farm with its 
freedom and purity, with all the opportunities of civilization is the hope of our 
finest development. 

PRIMARY 

The legislation of North Carolina has heretofore been considerate of the wel- 
fare of the people and fairly responsive to their demands. This State has not 
suffered as other States have suffered from corrupt and sinister influences, but 
these evils will come to us too unless we provide against them. 

The primary election is already a recognized institution in our politics. It is 
a logical evolution of our democracy. "We have it, and let us have it in its best 
possible form. Let us provide for it by law and let us protect it by law. To the 
limit of the law let us guarantee purity and fairness in all elections. The Demo- 
cratic party has set its face steadfastly against all manner of corruption. This 
General Assembly, in accordance with the declaration in the platform, will enact 
a statute for the conviction and punishment of all persons that would by any 
method of corruption whatsoever attempt to influence elections or the making or 
the administration of the law. 

TAXATION AND REVENUE 

The most difficult question for this General Assembly is the raising of a suffi- 
cient revenue to meet the necessities of the State. The problem of taxation is 
always difficult and vital. The government must be economically administered. 
No extravagance should be tolerated. "We must provide revenue for all appropri- 
ations and necessary expenses. With the State as with the individual, the element- 
ary rule of business is, to live within your means. "We are going to inevitable 
bankruptcy if we continually spend more than our income. 

AMPLE RESOURCES 

But North Carolina has ample resources with which to meet all her financial 
obligations. Within the last decade the value of her lands and the amount of her 
wealth have been multiplied. The railroads of North Carolina are more valuable 
today than was all of her property put together in 1876. 

FORWARD IS THE ORDER 

We cannot repudiate the obligations of Christian civilization. Now that the 
land is yielding the bountiful harvest, now that the stagnant towns of the last 
generation are growing cities of increasing wealth, now that industry is triumphant, 



16 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

now that destiny is unfolding to us in grander revelation — shall we in this day of 
strength and prosperity withdraw any support from our institutions of learning, 
shall we deny the efficient administration of justice, shall we not hear the appeal 
of the unfortunate, shall it be written that to the Confederate soldiers we give less 
than any other Southern State, and for the education of our children we do less 
than any State in the Union? In this new century, when Southern ideals are about 
to be restored to the Union, when Southern statesmen are coming again to the 
places of power, when the future beckons with renewed strength and life, forward 
is the order. 

PROPERTY NOT ASSESSED 

The fault is that we do not assess our property for taxation. The land has 
been greatly undervalued and most of the personal property has not been valued 
at all. It seems that an immediate reassessment is necessary, and it should be done 
before this General Assembly shall adjourn sine die. It should be understood that 
the assessment is not ordered with the view of increasing the rate of taxation, but 
with the view of lowering the rate and with the determination of securing a more 
equitable and more complete listing of taxable property. The tax on inheritances 
should be increased and it should be collected. 

In my opinion, the impelling reason for undervaluation and concealment of 
property is not that men and communities desire to shirk the payment of their 
just proportion of taxes, nor that they desire to take advantage of other men and 
other communities, but the reason is that they do not desire that other men and 
other communities shall take the advantage of them. The taxpayer and the 
assessor, to insure a square deal for themselves and their communities, are actu- 
ated by a common purpose to undervalue property, and for this reason under- 
valuation and concealment have come to be the established custom. 

The personal property of the average man cannot be concealed. The securities 
of the wealthy can be concealed. The j^oor pay this tax. The wealthy escape. 

I* SEGREGATION OF PROPERTY 

If we could segregate property and provide that the property in each community 
should bear the governmental expense of that community, and that property of a 
general character should meet the requirements of the State, the temptation to 
depreciation would be greatly lessened and the effort to conceal less successful. 
This is the essence and the strength of local self-government , the taxation of each 
community by its own people, for its own purpose and benefits. The unit should 
be no larger than is necessary to assure the advantages of cooperation. 

AMENDMENT TO CONSTITUTION 

The application of this principle has enabled our cities and towns and many 
of our rural communities to enjoy the advantages of improvement and progress. 
We must eventually resort to this principle of local self-government for the highest 
development of local institutions. We must resort to this to obtain the best roads, 
and the best schools, and electric lights, and pure water, and the opportunities of 
modern life. To realize the full measure of the blessing of this beneficent principle 
we need an amendment to our Constitution. 

The formation and the submission to the people of such an amendment would 
be the supreme work of this General Assembly. Such an amendment would be of 



MESSAGES TO GENERAL ASSEMBLY 17 

mighty significance in the life of the State. I believe that it could be framed to 
result in her enduring welfare. 

In assuming the office of Governor I am deeply conscious of the solemn respon- 
sibility. I follow in the line of my able predecessors, whose administrations have 
been blessed with peace and plenty. There are difficulties to be met; as always 
the law must be enforced for the suppression of crime and for the maintenance of 
order, and as to the policies that vitally concern the State and all her varied inter- 
ests, sharp differences must necessarily arise among able and patriotic men. 

I am profoundly grateful to the people for calling me to the place where 
earnest endeavor is potential for the welfare of North Carolina. I welcome the 
opportunity. I do not shrink from the labor. I realize my limitations, and I 
am eager for the support and counsel of my friends, and of all good citizens who 
would guide me in the straight way and help me to do the best service. 

I will strive to prefer uprightness to the approval of the mighty or to the 
applause of the multitude. My ambition is to perform this, my task, with fidelity 
and courage ; I pray for that wisdom and strength vouchsafed to him who is stead- 
fast in the resolve to do right. 

On this day I dedicate myself to the service of all the people ; and for them I do 
promise to administer this office constant in the obligation to do exact justice to 
every man without regard to race or politics, to class or condition; sealed with 
the oath that I have taken, this with them is my covenant. 

And may the Almighty Hand be upon this, His State, to order it and to uphold 
it with judgment and with righteousness henceforth, even forever. 



(2) 

OPENING OF THE PANAMA CANAL 

Kaleigh, March 6, 1913. 
To the General Assembly of North Carolina; 

The Panama Canal will be completed during the present year. A world expo- 
sition celebrating this event will be held in San Francisco in the year 1915. This 
General Assembly must decide as to whether North Carolina shall be represented. 

The construction of the Panama Canal is the greatest accomplishment of the 
human race in ancient or modern times. It surpasses any of the monuments of 
ancient civilization, and in magnitude is far ahead of the Suez Canal, or any 
undertaking by any of the countries of Europe or Asia. This cleaving asunder 
of the two continents of the Western Hemisphere and uniting the two oceans that 
bear the commerce of the world will change the markets of the world and the 
centers of the world's traffic. It will make the seacoast cities of the South the 
gateways for the commerce of the United States. It will be of untold advantage 
to the South. The exposition in San Francisco that will celebrate this great 
accomplishment has been hitherto unequaled in all the earth. The countries and 
the republics of Europe and Asia will have their exhibits, and every State in the 
American Union, in Central America, and in South America will be represented. 
If North Carolina be represented at all, she ought to be creditably represented. 
Thousands of Worth Carolinians will visit this exposition. They will take advan- 



18 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

tage of the transportation rates across the continent, and see the greatest fair that 
has ever been held. There is one feature of this celebration that appeals especially 
to Worth Carolinians. There will be a parade of all the navies of the earth, the 
greatest in all history. A North Carolina man, Josephus Daniels, Secretary of 
the Wavy, will head that parade in a battleship flying the flag of the Republic. 
I would regret that North Carolina should not be represented at this great festival, 
celebrating as it will the greatest event in the development of the South. 

I have visited several of the world exhibitions, and to my regret North Caro- 
lina has not properly shown her strength and her resources. On the 4th of March 
I witnessed the procession celebrating the inauguration of a Democratic President. 
I saw in this procession the States of the Union. Immediately in front of North 
Carolina were the States of Pennsylvania, New Jersey, Virginia, and New York ; 
each had thousands of the National Guard well equipped. The men that North 
Carolina sent made a most creditable showing, but in numbers they were conspicu- 
ously few. There was a consoling thought that welled in the heart of every North 
Carolinian, that in the days when she has been called upon for men of action and 
daring she has been weighed in the balance and not found wanting; she has been 
great in times of war and she should be great in times of peace. If we would be 
worthy of the heritage of our fathers we ourselves must go forward. 

In expositions displaying the industries and resources of States and in great 
festivals it has been the regret of North Carolinians that our State has been so 
far outstripped by other States and countries. We are not poor and resourceless. 
We should not advertise to the world that we are poor and unprogressive. The 
participation in the Panama Exposition is not purely sentimental, but it will be 
the first step to be taken by the States of the Union in their effort to secure for 
themselves the benefits that are to be derived from the opening of the Panama 
Canal. All the States of the Union and all the nations of the earth will take 
advantage of this opportunity to bring to the attention of home-seekers and 
investors the advantages of their respective countries. 

The tide of immigration is now setting in towards the South, and we believe 
that we are in the beginning of an era of unprecedented promise. 

I hope that this General Assembly can see its way clear to provide representa- 
tion from North Carolina, and a proper representation, at this great festival cele- 
brating, as it will, the greatest event in the development of the South. The large 
appropriations recently made for the improvement of the harbors at Beaufort and 
Wilmington will guarantee that North Carolina will derive as much benefit from 
the opening of this canal as any other State in the Union. 

Locke Craig, 

Governor. 



(3) 

IN REGARD TO RAISING REVENUE 

Raleigh, March 6, 1913. 

To the General Assembly of the State of North Carolina: 

This General Assembly has already accomplished a great work. The welfare 
of the State has been remembered, and the people will support it. No law that 
has been enacted will be more earnestly endorsed than the law providing for a six 



MESSAGES TO GENERAL ASSEMBLY 19 

months school. This act of humanity and justice creates an additional demand 
upon the State Treasury of $400,000 a year. Statutes providing for the conserva- 
tion of the general health, the maintenance of our institutions, the administration 
of justice, and other necessary expenses call for additional appropriations amount- 
ing to $150,000 or $200,000 a year. 

We must provide the money to meet these large but necessary appropriations. 
The policy of blindly appropriating money, when there is no money in the Treasury 
and none in sight, will not do. It is a bankrupt policy. It is tolerable neither in 
public nor private business. "We cannot always cover deficits by bond issues. It 
is admitted, however, that the money heretofore appropriated has been honestly 
and wisely spent. It was necessary for the welfare of the State, and the State has 
gotten value received and more. 

Two methods for providing for our increased demands have been suggested: 

1. One method is by a higher tax rate on the present assessment of taxable 
property. 

2. The other method is by a low tax rate on a reassessment of property. 
Everybody knows that the present assessment is an unjust and an inequitable 

assessment. We know that the property that has been placed upon the tax books 
has been assessed at values that are ridiculously low, and we know that the great 
bulk of the personal wealth of the State has not been placed upon the tax books 
at all, and that it pays no tax whatever. The present assessment operates unjustly 
against the average citizen who pays his taxes ; his property is upon the tax book ; 
his farm and his farm stock cannot be concealed. The raising of the revenue for 
the six months school alone requires an additional tax of from 5 to 25 cents on 
the $100 worth of property in all the counties, towns, and special-tax districts of 
the State. We know that many do not on the present assessment pay taxes in 
proportion to their ability, and the proposition to place upon the people these 
additional burdens according to the existing inequitable assessment ought not to 
be done if we can possibly avoid it. Besides, the validity of an act of thet Legis- 
lature authorizing a county to levy a tax for general expenses in excess of the 
constitutional limit of 66% cents on the $100 worth of property might be seriously 
questioned. A similar act was held unconstitutional by the Supreme Court of 
ISTorth Carolina in the case of Williams v. Commissioners, 119 !N". C, page 520. 

The Constitution, Article V, section 7, provides : "Every act of the General 
Assembly levying a tax shall state the special object to which it is to be applied, 
and it shall be applied to no other purpose." 

It might with plausibility be argued that if the General Assembly can appro- 
priate 48 cents or 50 cents of the general levy for general State purposes, and 
authorize the counties to levy 5 cents or 25 cents in excess of the constitutional 
limit for general expenses, the State could appropriate 66% cents for general State 
purposes and authorize the counties to levy any per cent that might seem proper 
to any General Assembly. If this General Assembly should provide no other way 
for the maintenance of the public schools except by the increase of the tax rate 
beyond the constitutional limit, and if the Supreme Court, on the petition of any 
citizen of this State, should declare that this General Assembly had no constitu- 
tional power to authorize such a tax, the State would suffer a great calamity. 

Let us consider the proposition for the reassessment of property. There is 
now $750,000,000 worth of property upon the tax books. If the property of the 
State, real and personal, were assessed at approximately a proper value, there is 
no doubt that we could easily have $2,000,000,000 upon the tax books. The rate 



20 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

of taxation could be reduced 50 per cent. There is a reason for the undervaluation 
and concealment of property. Each landowner knows that other lands will be 
undervalued, and he knows that solvent credits in large amounts will not be listed. 
On the other hand, the owner of solvent credits knows that real estate in and 
around the cities and towns, yielding large revenues and increasing in value, and 
that farm lands will be greatly undervalued; that his securities cannot be under- 
valued, but if listed must go at their real value. For this reason they are concealed 
and escape taxation. When the present assessment was made, all the people were 
aware that the tax rate would be high ; in some instances almost confiscatory. This 
was another strong temptation for concealment and undervaluation. Such was 
the state of the public mind when we reassessed property in 1911. The result 
was a great wrong to the people who pay taxes upon their visible property. These 
now bear the burdens of government, while wealth escapes. 

Let us remove, as far as possible, the causes that produced this wrong. Let 
us have a just reassessment, provide machinery that will work with courage and 
intelligence, and with the determination to place the property upon the tax books. 
The property is here ; we know it. There is a vast amount of wealth in this State, 
amounting to many millions of dollars, represented by stocks and bonds in foreign 
corporations. I am informed that only one citizen of this State pays tax upon 
such securities. Let us provide for a just assessment, and let it be understood 
from this General Assembly, and from this administration, that the man who 
will suffer will not be the man who comes forward with his property, but the 
man who tries to escape. Let it be known that men must bear their burdens in 
proportion to their ability. We can put $2,000,000,000 upon the tax list and cut 
the rate in two. 

Perhaps the most potent reason for keeping property off of our tax books is 
our high rate of taxation. If we reduce this rate 50 per cent in every county, town, 
city, and special-tax district in the State, a great cause for concealment and 
undervaluation will be removed. 

We can accomplish but little towards placing the vast personal wealth of 
the State upon the tax books until there is an assurance that the rate will be low. 
We cannot have a low rate without a reassessment. 

A just reassessment would not hurt the average man who now pays his taxes, 
but it would doubtless reduce his taxes. It would increase the value of his prop- 
erty, but would lower the rate of taxation. The low rate would not frighten 
property out of the State and into concealment. By firm and fearless enforce- 
ment of the law it could be brought out to bear its just part of the burdens. This 
has been tried in other States with marked success. 

We must raise a certain amount of revenue. The question is : Shall we raise 
this revenue by a high tax on a low assessment of part of the property, or shall 
we raise it by a low tax on all the property, equitably from the rich and the 
poor alike? 

I would that the difficulty were not here; but to have the schools and roads 
and health and great institutions and make and administer laws and be a great 
State, we must have money. Let us get it justly. We need not fear the people 
for an act of justice to all the people. 

The fact that ever since the war our assessments have been in periods of four 
years should not deter us. The property of North Carolina has increased in 
value more in the last two years than it did in twenty years after the war, and 
no one denies that the present assessment is flagrantly wrong. Why tolerate this 



MESSAGES TO GENERAL ASSEMBLY 21 

wrong for two years longer? "We could appeal to the people with all confidence 
to sustain an act of justice. We could say to them, we did this in discharge 
of the trust that you reposed in us, as wisely as we could. In obedience to 
your demands, your multitudinous petitions from Farmers' Unions, from Junior 
Orders, from the people in all the walks of life, we provided for the education 
of your children, for the preservation of your health, for the higher education 
of your young men and your young women. We remembered in mercy, which 
is the highest justice, the insane and the deaf and the dumb and the blind and 
the sick and the feeble-minded; we have built roads into your community; we 
have taken North Carolina out of the list of the most ignorant States and given 
her the rank in the procession of the States that she occupied in the days that 
we boast about. She is no longer a pauper State. We have taken her from the 
affected rags of pauperism and shown her to the world as she is — a great pro- 
gressive State of wealth and commerce and schools and public roads. We have 
done this by an act of justice, by an act requiring her people to bear the burdens 
of government in proportion to their strength. 

From a low rate of taxation, property will come here to engage in enterprise 
and development. This General Assembly can say that from fear we did not, 
like the servant of old, hide the talent in a napkin and bring it back unincreased 
to a hard master, but that it improved its trust for the welfare of all the people 
and for the progress of the State. 

I feel sure that this General Assembly will rightly solve this question in the 
exercise of its patriotism and wisdom. 

Locke Craig, 
Governor. 

(4) 
APPOINTMENTS SUBMITTED TO THE SENATE FOR RATIFICATION, 

MARCH 10, 1913 

To the Senate: Raleigh, March 10, 1913. 

I have the honor to nominate the persons hereinafter named for the offices 
designated, and by and with the advice and consent of the Senate they will be 
and are hereby severally and respectively appointed to the said offices. 

Members of the Board of Internal Improvements for the term of two years, 
ending March 4, 1915 : 

Alexander Webb of Wake County, 

George W. Montcastle of Davidson County. 

Directors for the State School for the Blind and the Deaf, Raleigh, for the 
term of six years, ending March 5, 1919 : 

J. T. Rowland of Wake County, 
J. Sprunt Hill of Durham County, 
C. M. Wilson of Johnston County, 

and 
J. T. Alderman of Vance County, 
to fill out unexpired term ending March 6, 1917. 



22 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Members of the Board of Directors of the State's Prison for the term of four 
years, ending March 15, 1917 : 

H. B. Varner of Davidson County, Chairman, 
~N. E. Edgerton of Johnston County, 
Bichard Chatham of Surry County, 
Thomas Gillam of Bertie County, 

B. H. Buckingham of Cumberland County. 

Directors for the State Hospital at Goldsboro for the term of six years, ending 
March 12, 1919 : w L Hm of DupHn County; 

J. C. Cromartie of Bladen County, 
J. W. Thompson of Wayne County. 

Members of the State Board of Health for the term of six years, ending 
March 7, 1919 : Dr Riellard H . Lewis of Wake County, 

Dr. Edward Jenner Wood of New Hanover County. 

Members of the Board of Agriculture for the term of six years, ending 
March 11, 1919 : 

From the First Congressional District — 

F. P. Latham of Beaufort County. 
From the Fourth Congressional District — 

Clarence Poe of Wake County. 
From the Seventh Congressional District — 

C. C. Wright of Wilkes County. 
From the Tenth Congressional District — 

A. Cannon of Henderson County. 

Directors of the State Sanatorium for the Treatment of Tuberculosis for the 
term of eight years, ending April 1, 1921 : 

Dr. B. H. Lewis of Wake County, 
J. K. Blair of Montgomery County, 
Henry A. Page of Moore County, 

and 
J. B. Gordon of Guilford County, 
to fill out the unexpired term ending April 1, 1919. 

Directors of the State Hospital at Morganton for the term of six years, end- 
ing April 1, 1919 : 

J. P. Sawyer of Buncombe County, 
A. A. Shuford of Catawba County, 
A. E. Tate of Guilford County. 

Directors of the North Carolina School for the Deaf and Dumb, at Morganton, 
for the term of six years, expiring March 12, 1919 : 

J. L. Scott, Jr., of Alamance County, 
W. B. Whitson of Buncombe County, 
W. W. Neal of McDowell County. 



MESSAGES TO GENERAL ASSEMBLY 23 

Directors of the State Hospital at Raleigh for the term of six years, expiring 
March 12, 1919 : w A Erwin of Dllrllam County, 

Joseph G. Brown of Wake County, 
E. F. Aydlett of Pasquotank County, 

and 
A. B. Croom, Jr., of Pender County, 
to fill out the term expiring March 12, 1917; place of K. H. Salisbury. 

Members of the Geological Board for the term of four years, expiring 
March 1, 1917: w _ H _ -Williamson of Wake County, 

Henry E. Fries of Forsyth County. 

Directors of the School of the Feeble-minded, at Kinston, for the term of six 
years, expiring March 14, 1919 : 

Dr. L. B. McBrayer of Buncombe County, 

and 
R. E. Austin of Stanly County, ■ 
to fill the place that he occupied prior to his resignation in November, 1912. 

This leaves two vacancies on this board, which I beg leave to fill after 
the report to the adjourned session of this General Assembly of the committee 
appointed to investigate this institution. 

Directors of the A. and M. College, Raleigh, for the term of eight years, 
expiring March 20, 1921 : 

W. H. Ragan of Guilford County, 
Walter E. Daniel of Halifax County, 
J. P. McRae of Scotland County, 
W. B. Cooper of New Hanover County, 

and 
T. T. Thome of Nash County, 
to fill out unexpired term ending March 20, 1919. Locke Craig, 

Governor. 



To the Senate: Raleigh, March 10, 1913. 

At a meeting of the State Board of Education February 27, 1913, the follow- 
ing were elected members of the board of directors of the State Normal and 
Industrial College, to succeed themselves, for a term of six years beginning 
March 1, 1914, as provided by section 4252 of the Revisal of North Carolina: 

A. J. Conner of Northampton County, 

J. L. Nelson of Caldwell County, 

Joe Rosenthal of Wayne County. 

Henry E. Litchford of Wake County was elected for the unexpired term of 
R. T. Gray, deceased, and for the term of six years additional beginning March 1, 
1"14. Locke Craig, 

Governor and President of the State Board of Education. 



24 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(5) 

COMMISSION TO CONSIDER AMENDMENTS TO THE CONSTITUTION 

SUBMITTED TO THE SENATE FOR RATIFICATION, 

MARCH 11, 1913 

State of North Carolina 

Executive Department 

Raleigh 

To the General Assembly of North Carolina: 

In accordance with the resolution heretofore passed by the General Assembly 
providing for the appointment of a commission to consider amendments to the 
Constitution and report to an adjourned or extra session of this General Assem- 
bly, and in accordance with the power conferred upon me by such resolution to 
appoint five members of the said commission, I do hereby appoint the following 
persons as members of the said commission : 

A. M. Scales of the county of Guilford, 

J. W. Bailey of the county of Wake, 

D. Y. Cooper of the county of Vance, 

H. Q. Alexander of the county of Mecklenburg, 

1ST. J. Rouse of the county of Lenoir. 

This the 11th day of March, 1913. Locke Craig, 

Governor. 



(6) 

BIENNIAL MESSAGE TO THE GENERAL ASSEMBLY. 
SESSION 1915 

To the Honorable, the General Assembly of North Carolina: 

The last two years has been an era of substantial progress. The energy of 
the State has been manifest in her industrial and social development. Agriculture 
has improved. Trade and manufacturing have increased. The European "War 
has depressed values, and depressed business, but already conditions are improv- 
ing and the determination and intelligence of the people are prevailing over 
unexpected disaster. The sudden fall in the price of cotton resulting from the 
closing of the markets by war, and our unprecedented crops, have caused a shock 
that demoralized business, and discouraged enterprise. The present crop falls 
short of its expected value by millions of dollars. This calamity has fallen heavy. 
It has brought disaster to many that are industrious and worthy. The President 
of the United States and the Secretary of the Treasury have demonstrated that 
the administration at Washington is in sympathy with the producers of the 
country. They are exercising and are ready to exercise all the powers of the 
Federal Government for protection against untoward disaster. But no power of 



MESSAGES TO GENERAL ASSEMBLY 25 

government can defy world wide economic conditions, and any plan to valorize 
cotton or to compel all the people by legislation to buy this staple at a price above 
its market value is, in my opinion, unsound morally and economically, and must 
result in failure and disappointment, whether attempted by the Federal Govern- 
ment or by the State Government. "We have been blessed with years of advan- 
tageous circumstances, and will triumphantly ovei'come this reverse. 

If the present unfortunate situation can demonstrate to our farmers the 
necessity of diversifying crops; of producing meat and bread at home, the present 
misfortune will result to our permanent good. 

Within the last two years the principal differences between the people and the 
railroads as to transportation of merchandise have been adjusted. For years our 
people suffered from adverse discrimination and excessive rates. While we did 
not secure on interstate rates the reductions to which we were entitled, the best 
available adjustment was made. By this a saving estimated at $2,000,000 a year 
on interstate commerce was secured. But of far greater consideration is the 
placing of our enterprises on a fairly competitive basis with the enterprises of 
the State of Virginia. Industries heretofore attracted to Virginia will remain 
with us. Our towns and cities feel the impulse and the people will ultimately 
be benefited. 

Charges for the transportation of freight within the State have been fixed 
by a commission appointed by the Governor in accordance with a statute of the 
last General Assembly. The railroads have applied the reduced rates fixed by 
the commission. Intrastate commerce will be encouraged to the welfare of all 
sections of the State. The people have accepted the judgment of the commission 
as wise and just. 

A strong and determined public sentiment brought about these adjustments. 
The sovereignty of the people was asserted. They will deal firmly and justly 
with the common carriers, and it is fair to say that the railroads have come to 
recognize the controlling power of the people and have manifested an earnest 
desire to conduct the transportation business as public servants in harmony with 
the people's will, and the people's rights. The railroads and the people are now 
at peace. But a firm and just control must always be maintained. 

I transmit to the General Assembly for careful consideration the reports of 
the different departments of government and institutions of the State. You will 
see from these reports that our State institutions, educational and eleemosynary, 
are performing with efficiency their respective functions, that the various depart- 
ments of the State government have been administered with ability, economy and 
honesty. As provided by law, these departments and institutions have been 
thoroughly audited and investigated by competent experts, and in the honesty of 
their conduct they are above reproach. 

There are problems of grave importance that confront this General Assembly, 
and as commanded by the Constitution, I submit to you my views and recom- 
mendations on some of the questions that you will consider. 

THE FABM 

Our Department of Agriculture is doing effective work. The encouragement 
to better farming, the improvement of rural conditions by the improvement of 
schools, of roads, of sanitary conditions, by circulating libraries, by farm demon- 
strations, by scientific teaching, and by every feasible means should be the fixed 



26 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

purpose of this General Assembly. Eighty per cent of our people live upon the 
farms. Their destiny and the destiny of the State and of all the people of the 
State in all occupations is largely determined by conditions that prevail in rural 
communities. Thence cometh our strength, and thence the crop of men. 

REVENUE AND TAXATION 

The revenue for the last two years has met all the obligations of the State. 
There is a small balance in the treasury above all demands. This fact must be 
gratifying to this General Assembly, and to all the people, for it is the first time 
in many years that this condition has existed. Our revenue system, however, is 
far from satisfactory. The problem of taxation is always difficult and vital. The 
government must be economically administered. No extravagance has existed in 
this State, and none should be tolerated, but we must provide revenue for all 
appropriations and necessary expenses. With the State, as with the individual, 
the elementary rule of business is to live within your means. North Carolina 
has ample resources with which to meet all her obligations. Within the last 
decade the value of all real property has enormously increased, and personal wealth 
has been multiplied. 

We cannot repudiate the obligations of Christian civilization. Now that the 
land is yielding bountiful harvests, now that the stagnant towns of the last genera- 
tion have grown into cities of increasing wealth, now that industry is triumphant, 
now that destiny is unfolding to us in grander revelation — shall we, in this day 
of our strength, not fulfill the duties of a progressive State? We must support 
our institutions of learning to increasing usefulness. We should listen to the 
appeal of the Confederate soldier, and to those stricken in mind and body. We 
must provide for the improvement of our rural communities and for aggressive 
work for the prevention of disease and for the conservation of health. In this 
new century, when Southern ideals have been restored to the Union, when Southern 
statesmen have come again to places of power, when the future beckons to renewed 
effort and life, Forward is the order. 

PROPERTY NOT ASSESSED 

The fault with our fiscal system is that we do not assess our property for 
taxation. Real estate, and especially unimproved real estate, and real estate 
held for speculation, have been greatly undervalued, and most of the personal 
property has not been listed at all. It should be understood that the quadrennial 
assessment will be for the purpose of lowering the rate of taxation, and with the 
determination of securing a more equitable and a more complete listing of taxable 
property. A graduated tax on inheritances should be increased and it should be 
collected. 

Our citizens do not refuse to return their property for taxation because they 
desire to take advantage of others, but for the reason that they do not desire that 
other men and other communities shall take advantage of them and of their com- 
munities. The property has not been equally assessed for taxation, and for this 
reason men are actuated by a purpose to undervalue property, and to refuse to 
list their solvent credits. They would be willing to submit to a square deal, but 
desire to protect themselves against inequity. 

The personal property of the average man cannot be concealed. The securi- 
ties of the wealthy can be concealed. The average citizen pays his tax ; the wealthy 



MESSAGES TO GENERAL ASSEMBLY 27 

often escape. The Tax Commission should be clothed with plenary powers to 
enforce the listing of all property for taxation, and to enforce the uniform and 
just valuation of all property. Every citizen should bear the burdens of govern- 
ment in proportion to his ability. This policy should be carried out with unalter- 
able determination. 

On a subject related to the finances, I reco mm end that the General Assembly 
require the State Treasurer to give as his surety for the faithful discharge of the 
duties of his office, a bond executed by one or more surety companies, and that 
this bond be paid for by the State; that the Treasurer be allowed to put out at 
interest all available moneys in his hands. This would yield to the State an 
income of many thousands of dollars a year. 

PRIMARY ELECTIONS 

It is clear that the people of the State demand of the General Assembly a 
law providing primary elections for the nomination of candidates. This demand 
is in accord with the spirit of the age, and has already found legal expression in 
all the States of the Union with few exceptions. The Democratic party, the 
Republican party, and the Progressive party in State conventions have each 
declared for such a law. The Democratic party in convention assembled declared 
that : "We endorse the principle of the legalized state-wide primary for all 
national, State and judicial officers, and we pledge the party to the enactment of 
such a law as will make this principle applicable to all political parties." 

The members of this General Assembly hold their commissions with the pledge 
to all the people for this reform. This is democracy. It gives to the people the 
legalized machinery that provides the opportunity for every citizen to participate 
in the nomination of candidates, and in the selection of the public servants that 
must administer the government. Political conventions and party allegiance urge 
the citizen to vote for the nominee of his party. He should have a voice in their 
selection, otherwise, the great majority really have no voice in the administration 
of public affairs that are of vital interest to all. The means should be provided 
for the full and free exercise of this right. The primary should be established 
by law, and protected by law, and the criminal law shall deal firmly with fraud 
and corruption. Our elections must be pure, and our nominations must be by the 
full and fair expression of the popular will. Abuses have sometimes been prac- 
ticed under systems not adapted to present conditions. These abuses must be 
eradicated and provided against. The safety of the State demands it. The 
preservation of confidence in popular government demands it. The obligation 
for this fundamental reform is with this General Assembly and with the party 
now in power. 

INSURANCE 

The law regulating fire insurance should be amended. The rate of insurance 
which the people of the State must pay and the rules regulating the insurance 
business are now fixed by the Southeastern Underwriters' Association. This 
monopoly controls the insurance of the South. There is no competition. The 
protection from fire of our homes and families, of our property and industry is a 
necessity. "We must have insurance, and we must take this insurance under the 
present law, from a monopoly exercising its powers unrestrained by law. We 
paid last year $3,733,690.17 in premiums to this monopoly. There was paid to 
the people of the State in compensation for losses by fire $1,679,280.77. We paid 



28 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

to the companies constituting this monopoly more than $2,000,000 in excess of 
the amount returned for losses. This $2,000,000 was not all profit, for the expense 
of operating the business is considerable. 

The last General Assembly appointed a committee to investigate the working 
of these companies as affecting the people of North Carolina. This committee 
found that rates are not uniform, and in many instances too high, and that the 
rules of insurance are not equitable and just. I send to you the report of this 
committee. However, this may be, this monopoly is a public service concern. 

The Insurance Department has been ably managed and wisely managed by 
the Insurance Commissioner. He needs more power that he may serve the people 
more effectively, and exercise a control over this monopoly just as our Corporation 
Commission exercises control over the railroads and the other public service cor- 
porations of the State. The individual citizen has not the power to deal with it 
on equal terms, and to assert his rights. He must accept the terms proposed or 
be deprived of necessary protection. The State alone can deal with this monopoly, 
and the State will be derelict in her duty if she longer allows these corporations 
to fix insurance rates and to control without supervision the insurance business 
by their arbitrary and unlimited power. 

The General Assembly should confer upon the Insurance Commissioner the 
power to fix maximum rates, and provide by statute for reasonable rules and 
for uniform rates on each class of property. At present the Southeastern Under- 
writers Association, the representative of the combined insurance companies of 
the South, has the power to fix the terms of the contract between these companies 
and the people of the State. Millions of dollars are involved in this contract, 
and if this monopoly, representing foreign corporations, treat the people of North 
Carolina with justice and equity, it constitutes the one exception in all of our 
business experience. The people should have a voice in this contract. The Insur- 
ance Commissioner should have the power to represent them, and to speak for 
them. Every argument against State supervision and control of insurance has 
been made against the control of every monopoly. The fallacy of all has been 
demonstrated by the logic of experience. 

HIGHWAYS 

The people have awakened to the necessity of good roads. We realize that 
they are an indispensable factor for material prosperity and for special advance- 
ment. We are building more highways than ever before, and are expending 
thereon millions of dollars. It has been estimated by experts that from thirty to 
forty per cent of the money spent on public roads is, relatively speaking, wasted 
or misdirected. President Wilson, at the recent meeting of the American Road 
Congress in Atlanta, said : 

"As important as the matter of providing additional funds may be for roads, 
even more important are the matters of better road administration, and of better 
maintenance of roads already constructed." . . . "It is clear," continued he, 
"that we are not getting the results we should have." 

This General Assembly should establish a Highway Commission composed of 
experts, or of men who would make a study of this improvement. They should 
direct the expenditure of all road money, and they should see that maintenance 
gets as much attention as construction. 



MESSAGES TO GENERAL ASSEMBLY 29 



FORESTS 

The General Assembly should provide for the protection of our forests against 
ravages by fire and commercialism. The forests provide the rains that water 
the crops. They supply and conserve the streams that turn the wheels of industry. 
The failure to save from ruthless destruction our magnificent wooded areas will 
work an irreparable damage to ourselves and to our posterity. ' The lumberman 
is now denuding the mountains — mowing down their luxuriant covering, as the 
reaper mows a field of wheat. After him sweeps the conflagration, turning the 
once magnificent slopes and peaks into vast desolation of blackened ruin. We 
cannot expect the lumberman to sacrifice his individual interest to the public 
welfare. The State must exercise her power by proper regulation to save the 
forests and thereby preserve to the State this priceless heritage. 

state's prison 

The State's Prison has been managed with economy, honesty and business 
efficiency. The report of the Superintendent transmitted to the General Assembly 
shows the condition of the Prison and the operations in which the Prison has 
been engaged. It shows a balance to the Prison's credit above the cost of mainte- 
nance. And in this account the convicts of the State have done much work on 
the Hickory N"ut Gap Road and on the road in Madison County for which the 
Prison has no credit. 

Some years ago the State gave assistance by convict labor to certain railroad 
companies to enable them to construct railroads to remote and difficult places 
not provided with railway transportation. These convicts could have been hired 
to do work of the same kind at the rate of $1.50 or $1.75 a day each. The appro- 
priation of convicts was the equivalent to the appropriation of money out of the 
State treasury. As direct compensation for the labor of the prisoners, the State 
has accepted, in accordance with legislative enactment, stock in railroad com- 
panies that has no market value. The State has appropriated a value in these 
convicts to these railroad companies, realizing that the stock taken in payment 
is probably worthless. The real compensation to the State is to develop rich and 
inaccessible sections inhabited by a portion of our citizenship desiring and deserv- 
ing the facilities of communication and transportation with other portions of the 
State. In this way the State has appropriated as evidenced by stock: 

To the Elkin and Alleghany Eailway Company $193,500.00 

To the "Watauga and Yadkin River Railway Company 18,000.00 

To the Statesville Air Line Railway Company 58,800.00 

To the Mattamuskeet Railway Company 99,765.00 

To the Transcontinental Air Line Railway Company 17,200.00 

Making a total of $387,265.00 

And in addition to the above amounts $21,564.59, for which stock has not yet 
been received, making in all $408,829.59. 

These convicts have been appropriated under statutes vesting the power and 
discretion in the Governor and the Council of State, to decide when such convicts 
should be appropriated. All of these statutes should be amended so as to clothe 



30 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

the board of directors of the State's Prison with this power and discretion. This 
power does not legitimately belong to the Governor and the Council of State. It 
does legitimately belong to the Prison Board. The Governor and the Council of 
State cannot in the very nature of the situation exercise the power with a thor- 
ough knowledge of the affairs of the Prison and a comprehensive view of its 
necessities and operations. The Prison Board should have entire charge of the 
Prison, and all convicts committed to the Prison. The statutes in their present 
form impose incongruous duties upon the Governor and Council of State. This 
is no longer desirable or advisable, but is au unwarranted interference with the 
Prison Board in its management of the Prison. 

PUBLIC HEALTH 

The State Board of Health has efficiently performed a beneficent work. By 
its agency sanitary conditions are improving. This department should be pro- 
vided with means to continue with increasing effectiveness this most essential 
work for the preservation of life and for the health and happiness of all the 
people. 

TUBERCULOSIS 

The problem of dealing with tuberculosis is most serious. In North Carolina 
it has been ascertained that eighteen thousand persons are the victims of this 
disease. Many may have it of whom we do not know. It is an ever-present 
plague that stalks abroad at noon-day, and one-seventh of all the deaths in the 
State are from this dreaded disease. The Sanatorium at Montrose was estab- 
lished in response to the demand that something must be done for the afflicted, 
and to stop the ravages of the plague. In my opinion this institution with its 
present scope and efficiency is utterly incapable of dealing effectively with the 
situation. As an institution for the purpose of educating people to care for them- 
selves, and disseminate knowledge of the disease, it cannot be as effective as could 
a bureau established for the purpose of sending literature to every person in the 
State known to be afflicted. Such literature could present the situation more 
intelligently to the people, and with more efficacy than could be done by a few 
patients who are fortunate enough to secure admission to the small establishment 
at Montrose. There are now about ninety patients in this institution. It is most 
humanely and most ably managed. Yet, it is altogether inadequate to deal with 
this stupendous proposition that so vitally affects the people. It has done good in 
individual instances, but there are thousands in the State who cannot gain admit- 
tance, and who will desire admittance when its efficiency is recognized. This 
institution can never care for those entitled to admission. On the present plan 
the whole revenue of the State could not meet the demand. It is one of the high- 
est obligations of the State to deal with this disease, to do all possible to prevent 
it, and to cure those who have it. I hope that this General Assembly can work 
out a practical method that will be effective. 

the state's institutions 

I am satisfied that it would be economy, and good business, that all the institu- 
tions of the State, with the exception of the State's Prison, should be put under 
the management of one board of not more than five members. This board should 
have charge of and direct supervision of the business management of these institu- 



MESSAGES TO GENERAL ASSEMBLY 31 

tions. I am satisfied that such a system would save to the State thousands of 
dollars every year. But, if the General Assembly should not see proper to adopt 
this view, I recommend that the General Assembly shall direct that the Governor 
require that each State institution shall make to him in such form and detail as 
he may prescribe, a monthly or weekly report, as to their business management 
and condition. This would give the Governor at all times a clear insight into the 
workings of our institutions, and accomplish much in the way of economy and 
uniform business. 

CHILD LABOR 

The last General Assembly enacted a statute compelling the attendance of 
children upon the public schools. This statute should be enforced. The child 
cannot work at manual labor to advantage, but his mind is eager for knowledge 
and most retentive. His character is responsive to culture. The factory is no 
place for the child. The drudgery of toil is not his rightful inheritance, before 
his bones are hard, or his muscles are firm. If we grind the seed corn there will 
be a failure in the crop of men. "We should have upon our statute books a law 
forbidding children of tender years to work in mills or factories, and limiting 
the hours of labor of those who are of sufficient age to work. This law should 
provide that women shall not work at night in the mills. Motherhood should not 
be condemned to such service. And this law should be vitalized with safeguards 
for its enforcement. If, in our most progressive centers of industry and thrift, 
the family cannot live without the work of children and the drudgery of women, 
then our civilization has broken down, and is a failure. 

I commend the mill men of North Carolina for the humane spirit with which 
they have cared for the health and education of their employees, and the children 
of their employees. 

WESTERN TRAINING SCHOOL 

The General Assembly should earnestly consider the establishing of additional 
training schools for teachers for the western part of the State. We are paying 
out large sums to teachers who, by reason of circumstances and lack of convenient 
schools of proper character and facilities, have not been able to equip themselves 
efficiently for their work. Salaries paid for inefficient teachers must result in a 
more serious loss to the State than salaries paid for inefficient work in any other 
business or profession. We must create facilities which are convenient and within 
the reach of those who must teach the children of the State. A splendid and well 
equipped school has been established in the east. For a number of terms the 
Legislature has considered a school for the western section similar to that estab- 
lished at Greenville. The west desires this school located at some convenient 
point within reach of many counties not yet provided for. Many superintendents 
have brought to my attention the absolute need of such a school. I earnestly 
recommend that a school similar to the school at Greenville be established at some 
point in the western part of the State, located to serve the people of that locality. 
It would result in inestimable benefit to the people and stimulate our intellectual 
as well as material development. 

ADMINISTRATIVE OFFICERS SHOULD BE APPOINTED BY THE GOVERNOR 

If, in obedience to the expressed wishes of all political parties we provide 
primary elections for the nomination of State and Federal officers, it would be 






32 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

difficult, if not impossible for the people to exercise an intelligent choice in the 
nomination of administrative officials. The people can, and do, center their 
view upon those who would stand at the head of the government. The whole 
trend of thought of the age is for the short ballot, for the direct responsibility to 
the people of those whom they can know and can intelligently select. If this 
General Assembly should clothe the Governor with the power to appoint all of 
the administrative officials of the State, except those named in the Constitution, 
it would accomplish a reform of immense benefit. President Wilson once said : 
"Put all your eggs in one basket and watch that basket." The Governor to a 
large extent is held responsible for the affairs of his administration. Give him 
the power to select the men that shall direct those affairs. Hold him responsible, 
and he will be responsive to the people's will. The terms of the present incum- 
bents of these positions would of course not be affected. They are all able and 
faithful public servants. Their appointment by the Governor would unify the 
administration and increase the efficiency of the government. 

You come as the representatives of the people to write the statutes of a State 
pressing forward to nobler achievements. We look to you for the policies that 
will direct us in the way of substantial progress and encourage to renewed energy. 
You will perform your task with fidelity and courage, and may you be guided 
by the wisdom and sustained by the strength vouchsafed to all who are steadfast 

in the resolve to do right. T „ 

Locke Craig, 

Governor of North Carolina. 

January 7, 1915. 



(7) 

LIST OF EMPLOYEES, GOVERNOR'S OFFICE, WITH THEIR SALARIES, 

JANUARY 8, 1915 

To the Honorable, The General Assembly of North Carolina: 

In compliance with section 4409 of the Revisal of 1905, I herewith transmit 
to you a list of the employees of this office, together with their respective salaries 
per annum: 

Governor $5,000 

Private Secretary 2,000 

Executive Secretary 1,100 

Clerk '. 900 

Messenger 546 

Locke Ceaig, 
January 8, 1915. Governor. 



MESSAGES TO GENERAL ASSEMBLY 33 

(8) 

APPROPRIATION BY FEDERAL GOVERNMENT FOR CO-OPERATIVE 
AGRICULTURAL EXTENSION WORK 

January, 1915. 
The Honorable, The General Assembly of North Carolina: 
I herewith send — 

1. A copy of a letter from D. F. Houston, Secretary of Agriculture, dated 
January 11, 1915; 

2. Copy of suggested form of legislation for giving the State's assent to the act 
of Congress of May 8, 1914; 

3. "Weekly News Letter to Crop Correspondents, dated June 3, 1914; 

4. A copy of the Agricultural Extension of May 8, 1914. 

These documents relate to the appropriation made by the Federal Government 
for cooperative agricultural extension work. In order that the State of North 
Carolina may participate in this appropriation, it is necessary that the General 
Assembly give assent to the terms of the extension act of Congress of May 8th, all 
of which will fully appear in the papers hereto attached. 

Locke Ckaig, 
Governor. 

Department of Agriculture, 
Hon. Locke Craig, Washington, January 11, 1915. 

Governor of North Carolina, 

Raleigh, North Carolina. 
Sir: — I have the honor to bring to your attention a provision in the Agri- 
cultural Extension Act of Congress of May 8, 1914, requiring that in the case 
of each State, the Legislature give assent to its terms. This is necessary, 
even though the Governor of the State may previously have given his assent, 
pending legislative action, in accordance with section 3 of the act. 

This act, in addition to making a permanent annual appropriation of 
$10,000 to each State accepting its provisions, further appropriates, begin- 
ning with the fiscal year 1915-16, additional sums for succeeding years, to be 
apportioned among the States on the basis of their rural population. These 
further appropriations are to be duplicated by the States, as set forth in the 
following provision: 

"That no payment out of the additional appropriations herein 
provided shall be made in any year to any State until an equal sum 
has been appropriated for that year by the Legislature of such 
State, or provided by State, county, college, local authority, or indi- 
vidual contributions from within the State, for the maintenance of 
the cooperative agricultural extension work provided for in this 
act." 
I would therefore respectfully call your attention to the fact that pro- 
vision should be made for funds from sources within the State to offset the 
additional Federal appropriations under this act, due beginning July 1, 1915, 
if the State is to receive the full benefits of the act. 

For your information, I am enclosing (1) copy of the Agricultural Exten- 
sion Act of May 8, 1914, (2) suggested form of legislation for giving the 



34 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

State's assent to this act, and (3) copy of the Weekly News Lett'er of this 
Department of June 3, 1914, which shows the amount North Carolina may 
receive under this act. 

For detailed information regarding the requirements of this work in 
your State, I would suggest that you confer with the president of your State 
Agricultural College receiving the benefits of this act. 

Respectfully, (Signed) D. F. Houston, 

(Inclosures) Secretary. 

SUGGESTED FORM OF LEGISLATION FOR GIVING THE STATE'S 
ASSENT TO THE ACT OF CONGRESS OF MAY 8, 1914. 

Whereas the Congress of the United States has passed an act approved 
by the President, May 8, 1914, entitled "An act to provide for cooperative 
Agricultural Extension Work between the Agricultural Colleges in the 
several States receiving the benefits of the act of Congress approved July 2, 
1862, and of acts supplementary thereto, and the United States Department 
of Agriculture"; and 

Whereas it is provided in section 3 of the act aforesaid that the grants of 
money authorized by this act shall be paid annually "to each State which 
shall by action of its Legislature assent to the provisions of this act": There- 
fore, be it 

Resolved by (both houses of the Legislature), That the assent of the 
Legislature of the State of North Carolina be and is hereby given to the pro- 
visions and requirements of said act, and that the trustees of the North 
Carolina College of Agriculture and Mechanic Arts be and they are hereby 
authorized and empowered to receive the grants of money appropriated 
under said act, and to organize and conduct agricultural extension work 
which shall be carried on in connection with the North Carolina College of 
Agriculture and Mechanic Arts, in accordance with the terms and conditions 
expressed in the act of Congress aforesaid. 

[From Weekly News Letter to Crop Correspondents, United States Department 
of Agriculture, June 3, 1914] 

MAXIMUM AMOUNTS THE STATES CAN RECEIVE UNDER THE 

SMITH-LEVER COOPERATIVE AGRICULTURAL 

EXTENSION ACT. 

The appended table shows the maximum amounts which the several 
States will be eligible to receive under H. R. 7951 (the Smith-Lever Act), 
which provides for cooperative agricultural extension work between the 
States and the United States Department of Agriculture. 

As the table shows, the act makes available for the next nine fiscal years 
an aggregate sum of $23,120,000 of Federal funds to be expended in instruc- 
tion and practical demonstrations in agriculture and home economics. To 
obtain this total the States must appropriate for like purposes a total of 
$18,800,000, making a grand total of $41,920,000 to be expended during the 
next nine fiscal years on direct agricultural extension work. Thereafter the 
Federal Government is to appropriate $4,580,000 annually, and the States, to 
take their full quota, must appropriate $4,100,000 annually, making a total 
annual expenditure for this purpose of $8,680,000. 

The purposes to which the Federal funds are to be applied are defined by 
the act as follows: 

That cooperative agricultural extension work shall consist of the 
giving of instruction and practical demonstrations in agriculture 



MESSAGES TO GENERAL ASSEMBLY 



35 



and home economics to persons not attending or resident in said 
colleges in the several communities, and imparting to such persons 
information on said subjects through field demonstrations, publi- 
cations, and otherwise; and this work shall be carried on in such 
manner as may be mutually agreed upon by the Secretary of Agri- 
culture and the State agricultural college or colleges receiving the 
benefits of this act. 

None of this money may be applied to the purchase, erection, and repair 
of any building, or the purchase and rental of land, or any college course 
teaching or lectures in colleges, promoting agricultural trains, etc. Not 
more than 5 per cent of each annual appropriation may be used in printing 
or the distribution of publications; so that at least 95 per cent must be 
expended in direct extension activities. 



Table showing maximum, amounts of Federal funds which the States would 
be eligible to receive under S. R. 7951, which provides for cooperative 
agricultural extension work. 

(Each State must duplicate all Federal money above $10,000 a year.] 

(EXPLANATION OF APPROPRIATIONS.)— The act first appropriates $480,000 annually, be- 
ginning with 1914-15, and gives each State $10,000 for each fiscal year as a basic fund. 

The act then appropriates additional Federal moneys to be distributed in the proportion of rural 
population. To share in these additional funds the State must duplicate the additional Federal money 
thus received. The additional appropriations are as follows: 1915-16, S600.000; 1916-17, $1,100,000; 
1917-18, $1,600,000; 1918-19, $2,100,000; 1919-20, $2,600,000; 1920-21, $3,100,000; 1921-22, $3,600,000; 1922-23 
and thereafter, $4,100,000. 

It will be noticed that after 1915-16 the total appropriation is increased each year by $500,000. The 
fifth column in the table shows the amount of each additional $500,000 that the State is entitled to 
receive. To get the amount that any State is entitled to receive for any fiscal year from 1917 to 1922, 
add the amount given in the table to the total for the immediately preceding year. Example: Ala- 
bama, in 1917-18 will receive $49,404 plus $17,911=$67,315; for 1918-19 Alabama will receive $67,315 
plus $17,911=S85,226; and so on until the maximum given under the column 1922-23 is reached. 

The totals for each State contain the basic $10,000 granted each year. To obtain the amount that 
the State would have to duplicate in any year to receive its entire Federal quota, subtract $10,000 
from the total. Example: The amount Alabama would have to duplicate in 1917-18 is $67,315 minus 
$10,000, or $57,315. 













1917-18 














1918-19 


1922-23, 




Fiscal year 19: 


1915-16 


1916-17 


1919-20* 


and there- 












1920-21 


after 












1921-22 














For the 














above 






Per cent 








fiscal 




State 


that rural 




Maxi- 


Maxi- 


years, 






popula- 


Amount 


mum 


mum 


add each 


For fiscal 




tion of 


each 


amount 


amount 


year the 


year 




State 


State 


each 


each 


amount 


1922-23 




bears to 


will 


State is 


State is 


given be- 


and there- 




total rural 


receive 


entitled 


entitled 


low to the 


after 




popula- 




to receive 


to receive 


total for 






tion* 








the imme- 
diately 
preced- 
ing year 




Alabama— _ __ _ 


3.58 


$10,000 


$31,493 


$49,404 


$17,911 


$156,870 


Arizona ._ __ 


.29 

2.78 


10,000 
10,000 


11,717 
26,680 


13,147 
40,580 


1,431 
13,900 


21,730 


Arkansas .. 


123,980 


California - 


1.84 


10,000 


21,039 


30,236 


9,198 


85,424 


Colorado. _ . 


.80 


10,000 


14,795 


18,789 


3,995 


42,759 


Connecticut 


.232 


10,000 


11,398 


12,563 


1,165 


19,554 


Delaware . . . 


.213 


10,000 


11,281 


12,347 


1,067 


18,749 


Florida 


1.08 


10,000 


16,491 


21,898 


5,408 


54,345 



36 



LETTERS AND PAPERS OF GOVE RAW R LOCKE CRAIG 





Fiscal year 1914-15 


1915-16 


1916-17 


1917-18 
1918-19 
1919-20* 
1920-21 
1921-22 


1922-23, 
and there- 
after 


State 


Per cent 
that rural 
popula- 
tion of 
State 
bears to 
total rural 
popula- 
tion* 


Amount 

each 

State 

will 

receive 


Maxi- 
mum 
amount 

each 

State is 

entitled 

to receive 


Maxi- 
mum 
amount 

each 

State is 

entitled 

to receive 


For the 
above 
fiscal 
years, 
add each 
year the 
amount 
given be- 
low to the 
total for 
the imme- 
diately 
preced- 
ing year 


For fiscal 
year 
1922-23 
and there- 
after 




4.19 

.52 
4.38 
3.16 
3.13 
2.43 
3.51 
2.35 

.731 
1.29 

.49 
3.00 
2.48 
3.22 
3.84 

.491 
1.79 

.14 

.36 
1.28 

.57 
3.90 
3.82 
1.04 
4.26 
2.71 

.741 
6.15 

.04 
2.61 
1.03 
3.53 
5.99 

.41 

.38 
3.21 
1.09 
2.01 
2.69 

.21 


510,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 
10,000 


S35.174 
13,110 
36,282 
28,943 
28,794 
24,556 
31,088 
24,094 
14,389 
17,748 
12,922 
28,002 
24.S99 
29,330 
33,036 
12,952 
20,728 
10,834 
12,133 
17,660 
13,414 
33,443 
32,953 
16,236 
35,557 
26,256 
14,442 
46,893 
10,220 
25,691 
16,167 
31,202 
45,970 
12,438 
12,275 
29,267 
16,523 
22,071 
26,164 
11,250 


556,151 
15,702 
58,184 
44,729 
44,456 
36,686 
48,660 
35,839 
18,047 
24,203 
15,374 
43,005 
37,315 
45,438 
52,232 
15,412 
29,668 
11,529 
13,909 
24,043 
16,259 
52,979 
52,081 
21,431 
56,855 
39,802 
18,144 
77,637 
10,402 
38,768 
21,308 
48,870 
75,945 
14,468 
14,170 
45,323 
21,958 
32,130 
39,634 
12,290 


820,978 

2,592 

21,902 

15,786 

15,662 

12,130 

17,573 

11,745 

3,657 

6,456 

2,443 

15,002 

12,416 

16,108 

19,196 

2,460 

8,940 

695 

1,777 

6,383 

2,845 

19,536 

19,127 

5,196 

21,297 

13,547 

3,701 

30,744 

183 

13,076 

5,140 

17,668 

29,975 

2,031 

1,896 

16,056 

5,436 

10,059 

13,470 

1,041 


3182,020 




31,254 




189,596 




139,442 




138,428 




109,466 




154,103 




106,309 




39,991 




62,936 




30,029 




133,016 




111,811 




142,086 




167,411 




30,172 




83,308 




15,699 




24,572 




62,341 




33,329 




170,195 




166,846 




52,607 


Ohio 


184,640 




121,081 




40,352 




262,101 




11,497 




117,223 




52,148 




154,878 




255,795 


Utah -- 


26,655 




25,543 




141,659 




54,571 




92,484 




120,454 




18,541 








99.988 


8480,000 


51,080,000 


SI, 580, 000 


3500,000 


84,580,000 



*Figures after 1920 subject to returns of fourteenth census on rural population. 



MESSAGES TO GENERAL ASSEMBLY 37 

[Public— No. 95 — 63d Congress] 

[H. E. 7951] 

An act to provide for cooperative agricultural extension work between 
the agricultural colleges in the several States receiving the benefits) 
of an act of Congress approved July 2, 1862, and of acts supplement- 
ary thereto, and the United States Department of Agriculture. 

Be it enacted by the Senate and House of Representatives of the United 
States of America in Congress assembled, That in order to aid in diffusing 
among the people of the United States useful and practical information on 
subjects relating to agriculture and home economics, and to encourage the 
application of the same, there may be inaugurated in connection with the 
college or colleges in each State now receiving, or which may hereafter 
receive, the benefits of the act of Congress approved July 2, 1862, entitled 
"An act donating public lands to the several States and Territories which 
may provide colleges for the benefit of agriculture and the mechanic arts" 
(Twelfth Statutes at Large, page 503), and of the act of Congress approved 
August 30, 1890, (Twenty-sixth Statutes at Large, page 417 and chapter 841), 
agricultural extension work which shall be carried on in cooperation with 
the United States Department of Agriculture: Provided, that in any State 
in which two or more such colleges have been or hereafter may be estab- 
lished the appropriations hereinafter made to such State shall be adminis- 
tered by such college or colleges as the Legislature of such State may direct: 
Provided further, that, pending the inauguration and development of the 
cooperative extension work herein authorized, nothing in this act shall be 
construed to discontinue either the farm management work or the farmers' 
cooperative demonstration work as now conducted by the Bureau of Plant 
Industry of the Department of Agriculture. 

Sec. 2. That cooperative agricultural extension work shall consist of the 
giving of instruction and practical demonstrations in agriculture and home 
economics to persons not attending or resident in said colleges in the several 
communities, and imparting to such persons information on said subjects 
through field demonstrations, publications, and otherwise; and this work 
shall be carried on in such manner as may be mutually agreed upon by the 
Secretary of Agriculture and the State agricultural college or colleges receiv- 
ing the benefits of this act. 

Sec. 3. That for the purpose of paying the expenses of said cooperative 
agricultural extension work and the necessary printing and distributing of 
information in connection with the same, there is permanently appropriated, 
out of any money in the Treasury not otherwise appropriated, the sum of 
$480,000 for each year, $10,000 of which shall be paid annually, in the man- 
ner hereinafter provided, to each State which shall by action of its Legisla- 
ture assent to the provisions of this act: Provided, that payment of such 
installments of the appropriation hereinbefore made as shall become due to 
any State before the adjournment of the regular session of the Legislature 
meeting next after the passage of this act may, in the absence of prior legis- 
lative assent, be made upon the assent of the Governor thereof, duly certi- 
fied to the Secretary of the Treasury: Provided further, that there is also 
appropriated an additional sum of $600,000 for the fiscal year following that 
in which the foregoing appropriation first becomes available, and for each 
year thereafter for seven years a sum exceeding by $500,000 the sum appro- 
priated for each preceding year, and for each year thereafter there is per- 
manently appropriated for each year the sum of $4,100,000 in addition to the 
sum of $480,000 hereinbefore provided: Provided further, that before the 



38 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

funds herein appropriated shall become available to any college for any 
fiscal year plans for the work to be carried on under this act shall be sub- 
mitted by the proper officials of each college and approved by the Secretary 
of Agriculture. Such additional sums shall be used only for the purposes 
hereinbefore stated, and shall be allotted annually to each State by the Sec- 
retary of Agriculture and paid in the manner hereinbefore provided, in the 
proportion which the rural population of each State bears to the total rural 
population of all the States as determined by the next preceding Federal 
census: Provided further, that no payment out of the additional appropri- 
ations herein provided shall be made in any year to any State until an equal 
sum has been appropriated for that year by the Legislature of such State, or 
provided by State, county, college, local authority, or individual contribu- 
tions from within the State, for the maintenance of the cooperative agricul- 
tural extension work provided for in this act. 

Sec. 4. That the sums hereby appropriated for extension work shall be 
paid in equal semiannual payments on the first day of January and July of 
each year by the Secretary of the Treasury upon the warrant of the Secre- 
tary of Agriculture, out of the Treasury of the United States, to the treas- 
urer or other officer of the State duly authorized by the laws of the State to 
receive the same; and such officer shall be required to report to the Secre- 
tary of Agriculture, on or before the first day of September of each year, a 
detailed statement of the amount so received during the previous fiscal year, 
and of its disbursement, on forms prescribed by the Secretary of Agriculture. 

Sec. 5. That if any portion of the moneys received by the designated 
officer of any State for the support and maintenance of cooperative agricul- 
tural extension work, as provided in this act, shall by any action or contin- 
gency be diminished or lost, or be misapplied, it shall be replaced by said 
State to which it belongs, and until so replaced no subsequent appropriation 
shall be apportioned or paid to said State, and no portion of said moneys 
shall be applied, directly or indirectly, to the purchase, erection, preserva- 
tion, or repair of any building or buildings, or the purchase or rental of 
land, or in college course teaching, lectures in colleges, promoting agricul- 
tural trains, or any other purpose not specified in this act, and not more 
than 5 per centum of each annual appropriation shall be applied to the print- 
ing and distribution of publications. It shall be the duty of each of said 
colleges annually, on or before the first day of January, to make to the 
Governor of the State in which it is located a full and detailed report of its 
operations in the direction of extension work as defined in this act, includ- 
ing a detailed statement of receipts and expenditures from all sources for 
this purpose, a copy of which report shall be sent to the Secretary of Agri- 
culture and to the Secretary of the Treasury of the United States. 

Sec. 6. That on or before the first day of July in each year after the 
passage of this act the Secretary of Agriculture shall ascertain and certify 
to the Secretary of the Treasury as to each State whether it is entitled to 
receive its share of the annual appropriation for cooperative agricultural 
extension work under this act, and the amount which it is entitled to 
receive. If the Secretary of Agriculture shall withhold a certificate from 
any State of its appropriation, the facts and reasons therefor shall be 
reported to the President, and the amount involved shall be kept separate 
in the Treasury until the expiration of the Congress next succeeding a 
session of the Legislature of any State from which a certificate has been 
withheld in order that the State may, if it should so desire, appeal to Con- 
gress from the determination of the Secretary of Agriculture. If the next 
Congress shall not direct such sum to be paid, it shall be covered into the 
Treasury. 



MESSAGES TO GENERAL ASSEMBLY 39 

Sec. 7. That the Secretary of Agriculture shall make an annual report to 
Congress of the receipts, expenditures, and results of the cooperative agri- 
cultural extension work in all of the States receiving the benefits of this act, 
and also whether the appropriation of any State has been withheld; and if 
so, the reasons therefor. 

Sec. 8. That Congress may at any time alter, amend, or repeal any or all 
of the provisions of this act. 

Approved May 8, 1914. 



(9) 
SUBMITTING LETTER FROM THE SECRETARY OF AGRICULTURE, 
TOGETHER WITH PROPOSED BILL FOR THE PROTECTION 
OF FISH AND GAME ON LANDS IN STATE PUR- 
CHASED BY FEDERAL GOVERNMENT 

January, 1915. 
To the Honorable, The General Assembly of North Carolina: 

I send you herewith a copy of a letter from the Secretary of Agriculture, 
Hon. D. F. Houston, together with a proposed bill for the protection of fish and 
game on the lands recently purchased by the Federal Government in the western 
part of the State. 

If properly protected, these lands would soon become stocked with the finest 
game, deer, bear, elk, and smaller game. If not protected, the larger of the wild 
animals would be destroyed, and the whole of the lands would soon become of no 
account as a place for game. Protection by the State or by the Federal Govern- 
ment is imperatively demanded. 

If the State does not wish to assume the expense and responsibility of guarding 
and conserving this territory, the consent of the State should be given to the 
Federal Government for this purpose. 

Yours truly, Locke Craig, 

Governor. 

Department of Agriculture, 

Washington, January 25, 1915. 

Hon. Locke Craig, Governor of North Carolina, 
Raleigh, N. G. 

Deae Governor Craig: — Referring to the proposed bill for the protection 
of game and fish on Federal lands in the western part of North Carolina, 
Mr. William L. Hall of the Forest Service recently conferred with the repre- 
sentatives of the Appalachian Park Association at Asheville in regard to the 
form of bill which had been sent you. At that conference the point came up 
that it would probably be well to leave with the Federal Government the 
decision as to whether or not any land made a Federal game preserve should 
be completely closed to the taking of fish and game at all times. In this 
view the Solicitor of this Department and the Forester also agreed. I there- 
fore enclose a redraft of the bill sent you some days ago, and desire to ask 
that you consider it as the recommendation of the Department in place of 
the bill sent you on January 11. Very sincerely yours, 

D. F. Houston, 

Secretary. 



40 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

A bill to be entitled An act to. give the consent of the State of North 
Carolina to the making by the Congress of the United States, or 
under its authority, of all such rules and regulations as in the opin- 
ion of the Federal Government may be needful in respect to game 
animals, game and nongame birds, and fish on lands, and in or on 
the waters thereon, acquired or to be acquired by the Federal Gov- 
ernment in the western part of North Carolina for the conservation 
of the navigability of navigable rivers. 

Whereas the Government of the United States, with the consent of the 
General Assembly of the State of North Carolina, has acquired and will 
acquire areas of forested land in the western part of said State for the pur- 
pose of conserving the navigability of navigable streams, and said lands and 
waters thereon are and will be stocked, naturally and artificially, with game 
animals, game and nongame birds, and fish; and 

Whereas, in order adequately to enjoy and protect the occupancy and use 
of said areas, it is important that the United States be fully authorized to 
make all needful rules and regulations in respect to such animals, birds, and 
fish: Therefore, 

The General Assembly of North Carolina do enact: 

Section 1. That the consent of the General Assembly of North Carolina 
be and hereby is given to the making by the Congress of the United States, 
or under its authority, of all such rules and regulations as the Federal Gov- 
ernment shall determine to be needful in respect to game animals, game and 
nongame birds, and fish on such lands in the western part of North Carolina 
as shall have been, or may hereafter be, purchased by the United States 
under the terms of the act of Congress of March 1, 1911, entitled "An act to 
enable any State to cooperate with any other State or States, or with the 
United States, for the protection of the watersheds of navigable streams, 
and to appoint a commission for the acquisition of lands for the purposes of 
conserving the navigability of navigable rivers" (Thirty -sixth United States 
Statutes at Large, page 961), and acts of Congress supplementary thereto 
and amendatory thereof, and in or on the waters thereon. 



(10) 

TRANSMITTING REPORTS OF THE VARIOUS INSTITUTIONS 

OF THE STATE 

January, 1915. 

To the Honorable, The General Assembly of North Carolina: 

I herewith transmit to you the Report of the Legislative Committee appointed 
by the General Assembly of 1913, under section 5378 of the Revisal, to audit the 
accounts and vouchers of the State Treasurer, Insurance Commissioner, and 
State Auditor, for the fiscal years ending December 1, 1913, and December 1, 1914. 

The original of this report was filed in this office in December, 1914, but in 
some way has been misplaced, and is not now in the office. For this reason it was 
overlooked and not transmitted sooner to the General Assembly. The report here- 
with transmitted is a carbon copy. Locke Craig 

Governor. 



MESSAGES TO GENERAL ASSEMBLY 41 

(11) 

APPOINTMENTS STATE BOARD OF EDUCATION, SUBMITTED TO 
THE SENATE FOR RATIFICATION 

Executive Department 
Raleigh, North Carolina 

February 25, 1915. 
To the Senate of North Carolina: 

As President of the State Board of Education, I have the honor to report to 
your honorable body that the State Board of Education, under section 4252 of 
the Revisal of 1905 of North Carolina, at its meeting on February 25, 1915, 
appointed, subject to the confirmation of the Senate, the following as members 
of the board of directors of the State Normal and Industrial College, to succeed 
themselves for a term of sis years, beginning March, 1916: 

George W. Hinshaw of Fifth Congressional District, 
T. B. Bailey of Seventh Congressional District, 
T. S. McMullan of First Congressional District. 

Respectfully submitted, 

Locke Craig, 
Governor, and President of State Board of Education. 



(12) 

APPOINTMENTS SUBMITTED TO SENATE FOR RATIFICATION 

Executive Department 
Raleigh, North Carolina 

March 6, 1915. 

To the Senate of North Carolina: 

In the exercise of the duty and power conferred upon me by law, I nominate 
the persons hereinafter named for the offices designated; and by and with the 
advice and consent of the Senate, they will be and are hereby severally and 
respectively appointed to the said offices. 

Directors for the State School for the Blind and Deaf, Raleigh, for the term 
of six years, beginning March 6, 1915 : 

G. E. Lineberry of Hertford County, 

J. T. Finley of Wilkes County, 

C. B. Edwards of Wake County, to succeed J. T. Nichols, 

M. L. Kesler of Davidson County, to succeed Archibald Johnson. 



42 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Directors for the State Hospital at Goldsboro for the term of six years, begin- 
ning March 12, 1915: 

Dr. J. G. Anderson of Greene County, 
J. A. Beaman of Sampson County, 
Dr. J. T. Hoggard of Pender County. 

Members of the Board of Agriculture for the term of six years, beginning 
March 11, 1915 : 

William Bledsoe, Eighth District, 

B. W. Scott, Fifth District, 

C. W. Mitchell, Second District. 

Directors of the State Hospital at Morganton for the term of six years, begin- 
ning March 1, 1915: 

Heriot Clarkson of Mecklenburg County, 
Charles P. Matheson of Alexander County, 
Dr. L. !N". Glenn of Gaston County. 

Directors of the North Carolina School for the Deaf at Morganton, for the term 
of six years, beginning March 12, 1915: 

Archibald Johnson of Davidson County, to succeed J. H. Mock, 

Rev. J. 0. Atkinson of Alamance County, to succeed M. H. Holt, deceased. 

Directors of the State Hospital at Raleigh, for the term of six years, beginning 
March 12, 1915: 

Dr. T. W. M. Long of Halifax County, 

W. H. Williams of Beaufort County, 

B. B. Adams of Johnston County, to succeed E. G. Moore. 

Members of the Geological Board, for the term of four years : 

John Sprunt Hill of Durham County, to succeed W. H. Williamson, 
Hugh McRae of New Hanover County, 
F. R. Hewett of Buncombe County. 

Directors of the School for the Feeble-minded, at Kinston, for the term of six 
years, beginning March 4, 1915 : 

W. C. Newland of Caldwell County, 

D. F. Wooten of Lenoir County, 

W. A. Thompson of Beaufort County, 

J. R. Baggett of Harnett County, 

Mark Majette of Tyrrell County, to succeed A. C. Davis, 

J. D. Boushall of Wake County. 

Directors of the A. and M. College, Raleigh, for the term of eight years, 
begining March 20, 1915: 

M. B. Stickley of Cabarrus County, 

T. T. Ballinger of Polk County, 

O. L. Clark of Bladen County, 

W. H. Williamson of Wake County, to succeed N. B. Broughton, deceased, 

P. S. Boyd of Iredell County, to succeed D. A. Tompkins, deceased. 

Locke Craig, 

Governor. 



MESSAGES TO GENERAL ASSEMBLY 43 

(13) 
BIENNIAL MESSAGE TO THE GENERAL ASSEMBLY, SESSION 1917 

To the Honorable, the General Assembly of North Carolina: 

The days of my ministration are accomplished. In obedience to the Constitu- 
tion and in compliance with your will I speak to you my last word as the Governor 
of the State of North Carolina. 

Four years ago you invested me with the responsibilities of this high office. 
I have welcomed every opportunity for service, and my strength and energy have 
been devoted to the State. I have administered this office steadfast in the resolve to 
do exact justice to all — to the rich and to the poor, to the strong and to the weak — 
without regard to race or politics. In delivering up this place to my able and 
patriotic successor, it is with regret that I have not been able to do more for the 
people that conferred upon me the honor and the trust, to be the chief magistrate 
of the State. 

I acknowledge with gratitude the courtesy and cooperation, the faithful work of 
all of my associates and assistants in office. 

I reflect with some pride and satisfaction that the people by an overwhelming 
majority have placed the seal of approval upon my administration, and have 
declared their confidence in my successor and his administration. 

I do not come with a full program for your consideration ; that task will be 
performed by my successor. 

SALARIES OF THE STATE OFFICERS 

In my opinion the salaries of State officers should be increased. The Constitu- 
tion forbids any increase of the salary of Governor and officers created by the Con- 
stitution during their terms of office. Any increase for them must be before the 
inauguration. The greatly increased cost of living has made all salaries less 
valuable. It seems but reasonable that we should pay our Chief Executive as much 
as the Federal Government pays the Senators and Representatives in Congress. 
The Governor cannot live in the Mansion provided by the State at the present 
salary and do the things expected of him, and which he must do in accordance 
with established custom and the requirements of hospitality. I know whereof I 
speak. He must provide the means from other sources, and this the State does 
not desire. 

The same observation applies to all the State officers, but the Legislature will 
have full time for consideration of remuneration to all of them except the Governor 
and the members of his council. We have able, conscientious officials. They are 
worth more, they earn more than they receive. The people of North Carolina 
would willingly pay a reasonable and just compensation for efficient service. 

All the offices and all the places in our Government have been administered 
in economy and honesty, above the breath of scandal, and by men of upright 
lives and high purposes, whose daily walk is in the democratic plainness and 
simplicity of the tribunes of ancient Rome. 

CONSTITUTIONAL AMENDMENTS 

At the last election the people ratified amendments to the Constitution. This 
General Assembly must enact statutes to make them effective. Tou will by the 



44 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

amendments be relieved of a vast amount of local legislation, and have time for 
the consideration of problems of general importance. 

CUBA AND THE BONDS 

Recently the Republic of Cuba has come into the possession of "Reconstruction 
Bonds" amounting to more than two millions of dollars, and is attempting to 
enforce the payment of these bonds in the Supreme Court of the United States. 
The bonds were issued in the evil days that followed the war, when corruption and 
plunder were shameless, when marauders infested this Capitol. The State received 
no benefit from them. They were promptly repudiated, and the Constitutional 
Convention of 1875 made unlawful their payment by any official or by any Gen- 
eral Assembly. Their dishonor was published to the world, and no interest upon 
them has ever been paid. 

Adventurers and unscrupulous speculators have procured or gotten control 
of many of these bonds, and have by devious methods attempted to collect them. 
The Federal Constitution provides that no individual can sue the sovereign State. 
On this account the holders and their agents have attempted to force collection 
through the agency of other States of the Union, and for this purpose have offered 
most liberal gifts to States with whom they have negotiated. After these States 
became informed of the facts they refused to touch the unclean thing. 

If North Carolina owed the bonds, she would pay them, and would have recog- 
nized their validity. She does not owe them, and will in every way possible resist 
their payment. 

The citizens of North Carolina have always felt the deepest interest in the 
welfare and the destiny of the Republic of Cuba. In 1898 thousands of young 
men volunteered from the State to enlist in the army for the relief from oppression 
and for the liberty of the people of that island. The blood of the bravest was 
shed in this war of emancipation and humanity. We were, for these reasons, 
astonished that the Republic of Cuba should make herself a party to the unholy 
alliance for forcing from North Carolina the payment of these dishonored and 
fraudulent bonds. 

I have declined to consider any suggestion of compromise. I have declined 
all suggestions of negotiations with the view to securing a withdrawal of this suit 
by the Republic of Cuba. These bonds are not like the South Dakota bonds. It 
is inconceivable to me that the action can be maintained in any jurisdiction, or that 
their payment by this sovereign State can be enforced by any power. I have 
employed able counsel to assist the Attorney-General. The case is set for argument 
in the Supreme Court of the United States on Monday the eighth of January. We 
will fight it to a finish. I am convinced that the State of North Carolina will 
prevail in the great case now pending, and that this last cloud of Reconstruction 
which has threatened for fifty years upon our horizon will disappear forever. 

CONDITION OF THE STATE 

I rejoice to declare that the State is in better condition than at any period of 
her whole history, that the governing party that placed me here is stronger and 
more secure than ever in the loyalty and harmonious union of its members, and 
that by the long continuation of a government of integrity and devotion to the 
public weal, it has justified the confidence and trust of the people. 



MESSAGES TO GENERAL ASSEMBLY 45 

In our memory there are years of darkness and hardship with tempests of 
war for a background, when political night prevailed, and its minions went forth 
to plunder and to devour, when fields were barren, when schools were closed, when 
people were poor and discouraged, and when opportunity was denied. This was 
indeed a land of sorrows and acquainted with grief. We, ourselves, have been 
witnesses and partakers in the transformation of a State and her people. Out of 
the darkness of reconstruction there was the dayspring of '76. The people girded 
their loins to overcome adversity. They reestablished a government of law and 
security. They rehabilitated the State and her institutions. They opened the 
University and built the schools. 

During the sixteen years of this century North Carolina has made more progress 
than in all the years of her preceding history. In substantial development she has 
been surpassed by no State of the Union, nor by any civilized country whose history 
we know. Her growth and accomplishment is like a tale of Arabian romance. 

AGRICULTURE 

We are an agricultural people, and agriculture measures our National progress. 
By the intelligent cultivation of the soil, the yield of all staple crops per acre has 
been about doubled. The acreage of tillage has been increased until now the State, 
once far behind, ranks in agriculture among the first of the Union. The prosperity 
of the farm appears to the passer-by in improved fields, improved dwellings, and 
all the appointments of the farm. 

The College of Agriculture and Mechanic Arts and the Department of Agri- 
culture have been potential agencies in this wonderful development. The College 
must be manned and equipped for its larger usefulness. It should have five 
thousand students. Its alumni will go to all sections of the State, and of the 
country, trained for captains of industry, for the practical and scientific cultivation 
of the soil and for the higher development of the profession of agriculture. 

The Department of Agriculture has stimulated farming to increasing activity. 
It has protected the farmers from imposition, it has ascertained and encouraged 
the most profitable crops by methods of intelligent experiment and demonstration. 
The building now occupied by the Department is not fit. In its stead there should 
be erected a building commensurate with the requirements, typifying the finest 
and greatest of all of the industries of North Carolina. 

MANUFACTURES AND COMMERCE 

Manufacturing is prospering as never before, and is developing in every section 
of the State. The cotton mills alone require for their operation a hundred and 
eighty-seven thousand horse power. They manufacture all the cotton that we 
produce and more. The value of their product for the last year was a hundred 
million dollars. 

The utilization of waterpower is assuming large proportions. On a twenty 
mile section of the Yadkin River two hundred and fifty thousand horse power 
is now in course of development. From one end of the State to the other are 
electric cables through which are poured the transformed power of the French 
Broad, the Catawba, the Yadkin, the Pee Dee, the Cape Fear and the Roanoke, 
delivering exhaustless energy to the centers of industry, lighting cities and towns, 
and driving millions of wheels and spindles. The commercial advancement of 
our towns and cities is keeping pace with manufacturing and agriculture. 



46 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 



RURAL CONDITIONS 

The country home is no longer a place of isolation and desolation. Improved 
farming brings the comforts of life: the telephone, the mail box, good schools, 
and good roads enlarge and illuminate the horizon of country life. As rural 
conditions improve ambitious youth and manhood will abide and grow in the 
free and pure atmosphere for the breeding of a robust race. The country home 
should be provided with all modern appliances of comfort and economy. Rural 
communities should be empowered by statute to incorporate themselves for the 
purpose of securing water and light, and all available public utilities. Running 
water in the home is the most desirable of all modern conveniences. It saves 
women and children from drudgery in the heat and in the cold. It brings comfort 
and cleanliness. It preserves health. Every farmer of moderate means can have 
this convenience. It is not an expense. It is an economy. With screens in 
the windows and pure running water in the house, the home will be clean and 
sanitary, and the people who dwell therein will be cleaner, healthier, stronger 
and better. 

VACANT LANDS 

"We have always the perplexing question of taxation. The Constitution makes 
the solution difficult. The large per cent of the personal wealth of the State is 
not listed for taxation. One cause for this is the alleged undervaluation of 
the land. 

The Corporation Commission made an intelligent and courageous effort to 
equalize the tax values of the State, and have accomplished much, but the situation 
is by no means satisfactory. 

There are in the State vast areas of unused land held for speculation. The 
owners neither use it not intend to use it. These lands are listed for taxation 
at a very small part of their sale value. In assessments the discrimination is in 
their favor and against the lands that have been improved. These unused lands 
should not be favored by the tax assessor, for their owners are appropriating the 
value — the unearned increment created by the growth and enterprise of the 
whole community. If there be any discrimination let it favor the man who has 
improved by industry his holdings, and made his land productive; not to the 
man who refuses to improve and who prevents the natural development. A 
proper assessment would discourage the holding of vacant land for purposes 
of speculation, and encourage the industrious and the energetic to buy their 
own homes. This is especially true of city and surburban property. 

There is nothing that contributes more to the strength and patriotism, the 
highest development of citizenship, than the ownership of homes. A proprietor 
is independent. He cannot be a serf. Every farmer in Worth Carolina should 
determine to own the land upon which he lives though the acreage be small. 
He will then have a firm dwelling place, a steadfast interest in country and 
government. 

The Federal Reserve Act has destroyed the money monopoly. The farm 
loan bank recognizes the land as security upon which money can be obtained 
on long and easy terms. Land in Worth Carolina is comparatively cheap. A 
man of energy and determination can own his home if he will. 



MESSAGES TO GENERAL ASSEMBLY 47 



GOOD EOADS 

Good roads have been a potential agency for the welfare of the State. In 
obedience to the dictates of common sense, business requirements and the pro- 
gressive spirit of the age, the people of North Carolina have determined to 
have good roads. During the last four years we have built twice as many miles 
of improved highways as in all our preceding history. We now have about 
fifteen thousand miles of well graded, surfaced roads. In January, 1913, we 
had about five thousand miles. We have built ten thousand since then. 

During the last four years the Central Highway has been built from the 
Atlantic Ocean over the coastal plain, over the hills of the Piedmont, over the 
Blue Ridge to the Canyon of the Great Smoky Mountains. The section of this 
road from Old Fort to Ridge Crest, and a section in Madison County were built 
by State convicts. Within the last four years the highway from Charlotte to 
Asheville has been completed. The State convicts built that difficult section 
from Chimney Rock to Hickory Nut Gap. Similar highways have been built 
across the State and into every section. Road building goes on with increasing 
momentum. No community will be without them unless it be satisfied to deny 
itself the improvements of modern life in this day of enlightenment and progress. 
The old country road of rocks and mud and steep hills, consuming energy, for- 
bidding progress, is past. With good roads communities are correlated, markets 
are available, schools and churches are accessible, land rises in value, progress 
is inevitable. Our highways are immeasurably finer than "The King's Highway" 
of old, and they are the tracks for the swift and powerful vehicles. 

The automobile is the modern machine for local transportation. They are 
rapidly coming into universal use. We cannot get along without them, and they 
cannot get along without the good road. Their indispensable efficiency is not 
available without the graded, surfaced highway. They are monopolizing the 
roads, and they make road building and road maintenance far more expensive. 
They should bear a large part of this burden. The tax on them might be increased, 
and their owners would not complain provided the money be applied to the better- 
ment of the roads. 

HIGHWAY COMMISSION 

The State Highway Commission was established by the General Assembly 
of 1915. This com m ission has justified its creation. Its usefulness has been 
limited by lack of funds. The revenue from automobiles might be largely ad- 
ministered by the Commission. The modern highway is no longer a neighborhood 
affair, but a State institution for communication and use by the people of different 
sections. By improper location and construction a vast amount of money has 
been spent not to the best advantage. This can in the future be remedied by 
conferring upon the Commission supervisory powers. Competent and experienced 
engineers could be furnished. 

BAILEOAD GEADE CEOSSINGS 

On all of the principal highways railroad grade crossings should be abolished. 
This is demanded for the utility of the road, for the economy of the railroad, and 
in the interest of safety and human life. The railroads are now more prosperous 
than ever before. Their net earnings are greater. For the last fiscal year the 



48 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

net earnings of the railroads of the south were approximately $3,500 per mile. 
They have already realized the duty which they owe to the public of removing 
this inconvenience and danger. They have begun the work, and should proceed 
with all possible expedition while the expense can be easily borne. 

The authorities of the State have the right to compel the abolition of grade 
crossings. I do not mean that the whole evil should be remedied at once. Due 
consideration should be given to the transportation companies, but in the location 
and the building of our highways we should avoid the grade crossings. The State 
Highway Commission might designate, after consultation with the Corporation 
Commission and with the companies, what crossings should be abolished. 

FEDERAL AID FOE BOAD BUILDING 

Through the Highway Commission the State is enabled to receive the benefits 
of the Federal Aid Road Bill, which places at our disposal for road construction 
$115,000 for the present year, and an increasing amount for each succeeding year. 
One of the provisions of this Federal Act is that funds must be provided for the 
maintenance of roads upon which the Federal money is expended. The State 
must therefore provide a maintenance fund if we are to take advantage of this 
Federal aid, and cooperate with the Federal Government. 

RAILROAD BUILDING 

It has been the recognized policy of the State to aid in the construction of 
certain railroads in the Piedmont section, and across the Blue Ridge Mountains. 
Convicts have been furnished to the Statesville Air Line Railway, the Elkin and 
Alleghany Railway, and to the Watauga and Yadkin Valley Railway. These 
convicts are not paid for in cash, but, as authorized by law, are paid for in stock 
of the companies. This stock has no market value. But the consideration is 
not the value of the stock, but the value to the State of that magnificent country 
west of the Blue Ridge. These railroads when built will connect that country 
with the State. In trade and commercial intercourse it is cut off from North 
Carolina by impassable mountains and has been forced to trade with the cities of 
Virginia, and send to them its valuable products. This is a section with a splendid 
destiny. We need its fertile lands and vast forests. It is equal in beauty and 
natural richness to the famous southwestern Virginia section which it adjoins. 
As a matter of justice to the patriotic citizenship that dwells in the counties of 
Alleghany, Ashe and Watauga, the State should aid in securing for them railroad 
transportation for their development and for our mutual benefit. 

FREIGHT RATES 

At the beginning of my administration freight was hauled from the north 
and the northwest through the State of Worth Carolina and delivered to the cities 
of Virginia at a lower rate than the carriers would stop this same class of freight 
and deliver it to the cities of North Carolina. By this lower rate the merchants 
of Virginia were enabled to sell goods in the State of North Carolina cheaper than 
the merchants of North Carolina could sell the same class of goods at their very 
doors. Business was obliged to leave the State. The cities of Virginia flourished 
at our expense. 



MESSAGES TO GENERAL ASSEMBLY 49 

The Federal Government had jurisdiction of this question. The injustice was 
indefensible. The people of North Carolina had borne it for many years. In 
1913 this unjust discrimination was remedied to a large extent. Public opinion 
was the compelling power. It found expression through the Just Freight Eate 
Association, and encouragement in a General Assembly that was ready to go to the 
limit to compel justice and secure the rights of the people of Worth Carolina. 
Earnest men held meetings in various cities. The wrong was exposed, the General 
Assembly was called in extra session. The difficulties were great, and while com- 
plete equity was not obtained, the remedy was substantial. Under present con- 
ditions North Carolina wholesale merchants have the advantage in our territory 
over competitors in any other State. 

By this extra session of the General Assembly of 1913, a statute was passed for 
the reduction of intrastate freight rates. In accordance with the power conferred 
upon the Governor a commission was appointed to fix transportation charges within 
the State. The report of this commission was accepted by the people, by the 
carriers, and by the General Assembly. The railroads have sought before the 
Interstate Commerce Commission to raise some of our State schedules, but in all 
controversies the State has prevailed, and the rates fixed by the commission are 
now established. 

By the reduction of interstate rates and intrastate rates, our people have saved 
by careful estimate two million dollars a year. The spirit of progress has been 
relieved from unjust oppression. Commercial and industrial enterprises have been 
encouraged and established. A prosperity has come that could not have resulted 
under former conditions. 

There is another phase of this subject that I would impress upon this General 
Assembly, upon the Corporation Commission, and upon the people of the State. 
Freight originating in North Carolina going to the States south of us is subjected 
to the same tariff as the same class of freight originating in Virginia. North 
Carolina is entitled to a decided advantage upon all such merchandise. The haul 
is much shorter. Making all fair allowances, this freight originating in North 
Carolina going south should bear an average tariff of twenty cents less on the 
hundred pounds. There is no justification for fixing the same tariff upon south 
bound freight for the two States, when the Virginia freight must be hauled through 
the State of North Carolina. We are entitled to the advantage of our geographical 
situation, and we should not rest content until this unjust discrimination be cor- 
rected. Eternal vigilance is the price of liberty. 

In recent years the railroads have manifested a disposition and a desire to treat 
the people with fairness and to conduct and to regulate their business in accordance 
with a well conceived public sentiment. Their managers are men of patriotism 
and broad views. I hope for the continuation of peace and cooperation between 
the people and the carriers for mutual welfare in just regard to all concerned. 

THE FUTURE 

The State has done well. She is just emerging into her strength. Destiny 
calls. She can accomplish vastly more. Higher things demand to be done. To 
the energy, the faith and genius of our people the future is unfolding in sublime 
revelation. 



50 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

"But, oh, not the hills of Habersham, 

And, oh, not the valleys of Hall 
Avail: I am fain for to water the plain. 
Downward the voices of Duty call — 
Downward, to toil and be mixed with the main, 
The dry fields burn, and the mills are to turn, 
And a myriad flowers mortally yearn, 
And the lordly main from beyond the plain 

Calls o'er the hills of Habersham, 

Calls through the valleys of Hall." 

EDUCATION 

But material development is not the object of man's highest endeavor. Life, 
not economics, is the purpose of society — the ultimate aim of civilization. All 
wealth and all laws and all government must have as their purpose a fuller and 
finer life, a better social order. In the day of our prosperity we must not forget 
our institutions of learning. We must not forget the places where children and 
men and women are educated to the higher conceptions. I do not like our boast 
that we are running the cheapest university, and the cheapest normal schools in 
the world. We need the best in the world. These institutions have done splendid 
and indispensable work. They must grow or we go backward. Hope must not be 
denied to aspiring youth. Who can estimate the worth of our University, the 
normal schools, the denominational colleges, the public schools! Our intellectual 
and moral growth must be commensurate with our material growth. We rejoice 
that the old log schoolhouses have disappeared, that now in every community there 
is a school building, the pride of that community, and equal to the college buildings 
of the days of our childhood. These measure the efficiency of the school. The 
patriotic citizens of North Carolina willingly pay taxes for the education of the 
young. They are not willing that our educational institutions should not develop 
with the increasing demands of the age. Facilities must be provided for the boys 
and girls in North Carolina who are eager for the strength and equipment of life. 

INSTITUTIONS 

During my administration every institution in this State and every department 
of the State Government has been subjected to the most thorough investigation. 
Everything has been uncovered. ISTo dishonesty has been anywhere found. The 
Board of Internal Improvements has done its work fearlessly and without favor- 
itism. The institutions are of the highest order. 

We are expending hundreds of thousands of dollars every year in taking care 
of the insane, the deaf and dumb, the blind and the feeble-minded. This is an 
obligation that no State can avoid. For if in the days of our good fortune we do 
not remember them, our hearts would be hardened and our land would be accursed. 
And when, according to the plan of the last General Assembly, we build the new 
school for the blind, let us not be more niggardly to them than any other State. 

The Jackson Training School for youthful derelicts is doing a noble work. 
Humane consideration for wayward boys demands its enlargement. 



MESSAGES TO GENERAL ASSEMBLY 51 



SOLDIERS HOME 

We have not forgotten the soldiers of the Confederacy. We have provided for 
them a home, clean and comfortable, kept in a high state of efficiency. These 
veterans are fast disappearing. They are all disabled by age, and by the wounds 
and the hardships of war. Our privilege to help them is closing, for the captains 
and the soldiers are departing. 

HEALTH 

It is noble to provide for the sick and the afflicted, but the prevention of disease 
of mind and of body is the aim of the higher and wiser humanity. This is the 
task for modern pathology. Men and women and children suffer and die from 
causes that can be removed. They are deaf and dumb and are stricken with 
blindness and insanity, condemned to lives of darkness and hopelessness, not by 
the inscrutable decrees of Providence, but by the failure of society to protect them 
against the enemy more cruel than death. The State has no duty more imperative 
than the conservation and the promotion of health. Four years ago the General 
Assembly passed the Vital Statistics Law. It has done immense good in ascertain- 
ing the causes of disease and death. The work for the prevention of disease has 
been stimulated. The State Board of Health is waging a campaign of energy and 
intelligence against tuberculosis, typhoid fever and malaria, and such diseases that 
can be exterminated by intelligent and determined action. Many counties have em- 
ployed health officers. They are doing good work, but as yet the health work is by 
the county as a unit. The conservation of health is not a local question. The State 
has an interest. The State Board of Health should have general supervision of this 
work, and each community should have the benefit of its expert knowledge and wide 
experience. This board should have power to know by systematic reports the con- 
ditions and the work in each locality. Such correlation and publicity would in- 
crease efficiency and excite emulation of every health officer in the State. The 
State Board should be given the power to locate and reasonable means to prevent 
the spread of contagious diseases. Modern facilities for travel give wings to 
disease. Infantile paralysis, scarlet fever and other contagions may in a day be 
transported to distant counties for the establishment of new centers of infection, 
with dire calamity. The State law provides no protection against this. The 
Federal statute provides against interstate contagion, but there is no State statute 
to protect against intercounty contagion. 

North Carolina has the largest birth rate as to white children of any State in 
the Union — more babies per capita than any other country. This "Infant In- 
dustry" deserves and demands protection. They are the most desirable immigrants, 
thoroughbred from jSTorman and Saxon sires. 



During the last four years the State's Prison has been successful beyond pre- 
cedent. Above all expenses of every kind it has earned for the State the net sum 
of $400,000. To the Superintendent of the Prison, the Board of Directors and 
their subordinates credit must be given for this result. The institution has been 
managed with ability, honesty, economy and in humane consideration for the 
prisoner. This money has been made for the State by the work of the prisoners 



52 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

on the State farm, on the State highways, on the railroads, and at the quarries and 
dams of the Yadkin River. 

The making of money for the State is not the principal purpose of prison 
management. In this flood tide of prosperity and plenty, the families of most of 
the prisoners were in need of food and raiment. In many instances women and 
children were destitute. The poor and little ones suffer in winter. To me it 
seemed just, and to the Prison Board it seemed just that out of the earnings of the 
unfortunates a small amount be sent to their scanty, needy homes to relieve some 
distress, and as a testimonial of justice and sympathy. This seemed especially 
appropriate in these days of good will and benevolence. Some may criticize this 
act as unauthorized, and object to it as an unsafe precedent, but if this General 
Assembly condemn it, every dollar of the money will be promptly returned. 
" 'Swear,' said the captious Roman tribune to the consul, 'swear that you have 
observed the laws.' 'I swear,' said the consul, 'that I have served the Republic' " 
And we too in this have obeyed the law of humanity and righteousness, and done 
the will of the people of North Carolina. 

I hope that this General Assembly will by statute, consistent with the economic 
welfare of the prison, provide for some return to the dependent, needy families of 
prisoners in times of prosperity like these. 

I do not believe in "coddling" criminals. Crime must be punished. Justice 
is stern. The innocent suffer for the sins of the guilty. It was so declared on 
Sinai. It is the inexorable decree. But the law grows "with the growing humanity 
of the age, and broadens with the process of the suns." At the final judgment, in 
divine commiseration may it be spoken of us too : "I was in prison and ye minis- 
tered unto me. . . . For inasmuch as ye did it unto the least of these my 
brethren, ye did it unto me." 

Out of the surplus already earned by the institution, this General Assembly in 
obedience to the plainest duty should allow and direct the Board of Directors to 
build on the Caledonia Farm a modern prison, equipped with appurtenances and 
appliances for the proper care, custody and training of the State's convicts. It 
seems to be the established policy of the State to maintain this farm as the place 
of penal servitude. The buildings there are not adequate, and no longer tolerable. 
I do not see the necessity for the continued maintenance of the Central Prison at 
Raleigh. The whole Institution can be centralized at Caledonia. 

PAEDONS 

During my term of office pardons and commutations have been granted to four 
hundred and twenty-eight persons convicted in the courts. Most of these convic- 
tions were for misdemeanors, and in many cases judgments were pronounced in 
contemplation of a conditional pardon, with the object of restraining the offender 
from further violations of the law. In my opinion such judgments are not in 
accordance with the proper administration of justice. It places upon the executive 
the labor and the responsibility that belongs to the courts, and the courts have 
the opportunity to accurately ascertain the facts. The courts might be invested 
with power to pronounce conditional and indeterminate sentences, but the judg- 
ments of the courts should be pronounced as a finality. 

I have granted no pardon nor commutation except upon the conclusion after 
most careful consideration that justice and humanity demanded it. In each case 



MESSAGES TO GENERAL ASSEMBLY 53 

the facts have been fairly stated with the reasons. The press of the State has 
generally approved. The disappointment and sorrow of those whose petitions have 
been denied have touched me deeper than criticisms for judgments that to me 
seemed just and merciful. 

During my term seventeen men have been punished by death. I have spared 
human life unless the extreme penalty was justified by the evidence and demanded 
by the law. 

THE FLOODS 

On the sixteenth of last July a great flood wrought disaster in western North 
Carolina. There has been no such swell of waters since the country was settled 
by the white people. The flood gates of heaven were lifted and the deluge poured 
down. The sides of the mountains were torn loose. The valleys were flooded by 
raging torrents. Trees, crops, buildings, roads, railroads and the land itself were 
swept away. Animals could not escape, and many human beings were lost. The 
homes and fertile fields by the rivers were destroyed. The rich bottom lands of 
the Yadkin, the Catawba and tributaries were turned to desert wastes. 

In this overwhelming disaster the people were bewildered. They were for a 
time without food and shelter. When the extent of the calamity became known the 
people of the State nobly responded. Eagerly, generously they gave, not in the 
spirit of condescending charity, but in the discharge of an obligation to the unfor- 
tunate of their own race and kindred. 

Mr. Edward E. Britton was made Chairman of the State Relief Committee. 
More than forty-five thousand dollars have been received by him. Local com- 
mittees were organized in every county that had been stricken. Through the 
various local organizations at least fifty thousand dollars more have been con- 
tributed. All destitution was relieved. There has been no suffering. At present 
there is money in the hands of the chairman of the committee in each county that 
has asked for relief. Before the holidays seventeen thousand dollars were sent out. 
The leading men in the State offered their services without compensation, and went 
to carry relief and encouragement. Neighbors divided with the needy whatever 
they had, and throughout the State the finest spirit of sympathy was manifest in 
contributions by all classes of people. 

PRESERVATION OF FOEESTS 

The forests of North Carolina furnish annually a product of immense value. 
On the coastal plain and in the mountains, we once had a forest and a timber 
supply unsurpassed in any country. A vast portion of this has disappeared by 
unwise and wasteful cutting. The pine of the east and the hardwood of the moun- 
tains would readily come again on our fertile soil if properly protected. The 
lumbermen should be controlled by laws for the economic use of the forest. De- 
struction by fire should be prevented. Though the fairest part of this inheritance 
of ours is gone, much remains, and can be saved for this and the next generation. 
The sources of supply of the rivers that water the plains and turn the wheels of 
industry can be protected and conserved. Ruinous floods can be to a large extent 
prevented. 

MOUNT MITCHELL 

Under an act of the General Assembly of 1915 the State has a clear title to 
about six hundred acres on and around the summit of Mount Mitchell. This area 



54 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

is covered with a virgin growth of luxuriant spruce or balsam. Around this sec- 
tion now owned by the State, the forest has been mowed down by the lumberman. 
The dry resinous debris is most inflammable. After the lumberman, conflagrations 
with terrific force have swept these mountain areas, leaving the vast slopes a 
blackened desolation. But for the purchase by the State, the whole of Mount 
Mitchell would be a barren waste. Now, as far as this majestic mountain, the 
highest east of the Rockies, can be seen, the dark green of its summit is discernible 
above the ruin. A railroad runs from the town of Black Mountain to the edge of 
the park established by the State. Its terminus is about three-fourths of a mile 
from the top. Thousands of people visit this mountain during the summer. Each 
year multiplies the number. The State should recognize and regulate this rail- 
road as a common carrier of passengers, and should confer upon the Governor the 
power to appoint a commission composed of patriotic, interested citizens to serve 
without pay, for the protection and the management of the park on the summit 
of Mount Mitchell. General Julian S. Carr has consented to head a committee 
for the building of a memorial to Dr. Elisha Mitchell upon this mountain. This 
insures a structure suitable to the solemnity and the majesty of the sublime height, 
the most famous in eastern America. 

FISHERIES 

The General Assembly of 1915 enacted a law for the regulation of the fishing 
industry and for the conservation of the fish of eastern North Carolina. Our 
waters have been and are the source of a valuable food supply. They have been 
wastefully exploited and the yield largely diminished. But by wise and economic 
management conditions will improve and the fishing industry be restored for the 
welfare of the whole State, and the eastern section especially. 

The law of 1915 has been administered by proficient men who have earnestly 
devoted themselves to the important work. Heretofore the subject has been dealt 
with as local, but now as one of State concern properly under the jurisdiction of 
the State. These waters are not private property. Opposition has been encoun- 
tered. The Fisheries Commission Board and executive officers have enforced the 
law firmly, but with discretion and consideration. The healthy public sentiment 
now approves. The people are coming to realize that this law is necessary for the 
protection of the fishing industry from destruction, for the ultimate good of the 
fishermen, and for the good of the public. We have the most valuable fishing 
waters on the Atlantic coast and must not allow them to be destroyed. 

MOBILIZATION OF THE NATIONAL GUARD 

During the month of June the National Guard was called to mobilize for the 
defense of the southern border and to meet the dangers that threatened. The 
soldiers of every company in the State willingly volunteered. Some went at much 
sacrifice, but they did not complain. At El Paso under the command of Brigadier 
General Laurence W. Young they have distinguished themselves for discipline and 
for military training and efficiency. They have reflected credit upon the State in 
peace, and were ready with the courage and patriotism of their fathers to carry 
the flag to the farthest front of battle. The love and the admiration of the folks 
at home have been with them and we hope for their return as soon as their pres- 
ence on the Bio Grande is no longer demanded. 



MESSAGES TO GENERAL ASSEMBLY 55 

It is unfortunate that these brave men in the service of their country were in 
the last election deprived of the right of franchise. We need a statute to enable 
any citizen of this State to cast his vote when away from home by unavoidable 
necessity. 

PEACE 

In this State every citizen, every corporation, every legitimate enterprise, has 
had and should forever have the protection and the encouragement of just laws 
and fair and houest government. The civic purpose and effort has been to guaran- 
tee universal opportunity and the betterment of all the ranks of society. 

And now we should remember with devout gratitude that we dwell in this land 
of freedom, of prosperity and peace. With the Hebrew poet we can say : 

"How goodly are thy tents, Jacob; and thy tabernacles, O Israel!" 

We have been kept out of war in accordance with the highest conception of 
honor and duty. This Nation has stood for the law of civilization, for the free- 
dom of the seas, for the rights of American citizens in all lands. Every American 
demand has been acknowledged, and every American right has been conceded. The 
Schoolmaster of Princeton College has become the world teacher of a new doctrine 
of diplomacy. His dogmas of righteousness are more powerful than forty-two 
centimeter guns. He has dictated to militant kings and .emperors the principles 
of humanity, and has exalted the majesty of justice above all thrones. 

While the countries across the Atlantic are consumed by the vast conflagration 
of desolation ; while Europe is crushed and bleeding ; while the flower of her men 
have been destroyed, and are halt and maimed and blind and maniac by the savage 
weapons of this war; while all her women and children are in mourning; while 
lurid, ghastly and relentless war still strikes and strikes with unabated fury, and 
reaps his boundless harvest of death and destruction; we have been spared. And 
we have been spared through the wisdom, the patience, the steadfast courage of 
this great servant of God, for the realization of the larger destiny of this republic, 
in the final exaltation of peace and righteousness in all of the earth. For when 
exhausted Europe shall throw down the weapons of torture and murder, when 
peoples that drink the cup of trembling in the horror of great darkness shall behold 
the radiance of the coming day, Woodrow Wilson will stand forth as the prophet 
and the arbiter of peace for the world, to point the nations to the higher way of 
truth, to turn the hearts of the disobedient to the wisdom of the just. 

Locke Craig, 
January 4, 1917. Governor of North Carolina. 



(II) 

REDUCTION OF FREIGHT RATES 



REDUCTION OF FREIGHT RATES 

1. Joint Resolution declaring the views of the General Assembly of North Caro- 

lina with reference to interstate passenger and freight rates and charges, 
and for other purposes. January 30, 1913. 

2. Message to the General Assembly in which appointment is made of Commis- 

sion to investigate and report to General Assembly in accordance with 
the Joint Resolution in regard to interstate transportation charges by 
common carriers. February If, 1913. 

3. Letter to presidents of the various railroads inviting them to a conference in 

the Governor's office, February 12, 1913. 

4. Report of the Corporation Commission to the Governor and Council of State 

of negotiations for adjustment of interstate freight rates. August 5, 1913. 

5. Message to the General Assembly, Extra Session, transmitting report of Cor- 

poration Commission of negotiations for adjustment of interstate freight 
rates. September, 1913. 

6. Proposition of common carriers. September 19, 1913. 

1. Letter to Fred N. Tate, chairman Just Freight Rate Association, transmitting 
proposition of common carriers. September 19, 1913. 

8. Letter to Freight Rate Commission transmitting proposition of common 

carriers. September 19, 1913. 

9. "Rate Adjustment" — letter from Freight Traffic Manager, Southern Railway, 

to Chairman Corporation Commission. September 20, 1913. 

10. Proclamation by the Governor. Appointing Special Freight Rate Commis- 

sion. November 18, 1913. 

11. Proclamation by the Governor. Postponing operation of Act of Special 

Session 1913 in regard to freight rates, pending investigation of Special 
Freight Rate Commission. January 23, 1913. 

12. Proclamation by the Governor. Postponing operation of Act of Special 

Session 1913 in regard to freight rates, pending investigation of Special 
Freight Rate Commission. March 20, 1911/.- 

13. Proclamation by the Governor. Postponing operation of Act of Special 

Session 1913 in regard to freight rates, pending investigation of Special 
Freight Rate Commission. May 19, 19 H. 

14. Proclamation by the Governor. Postponing operation of Act of Special Ses- 

sion of 1913 in regard to freight rates, pending investigation of Special 
Freight Rate Commission. July 15, 191k- 



60 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

15. Proclamation by the Governor. Postponing operation of Act of Special Ses- 

sion 1913 in regard to freight rates, pending investigation of Special 
Freight Rate Commission. August 10, 191k- 

16. Report of Special Freight Rate Commission transmitted to Corporation Com- 

mission. August IS, 191k- 

17. Report of Special Rate Commission. August 13, 191k- 

18. Proclamation by the Governor, declaring freight rate schedule. August 13, 

191k- 

19. Certificate Special Freight Rate Commission in regard to lumber schedule. 

September 11, 191k- 

20. Letter of A. A. Thompson to Assistant Attorney-General, attached to certifi- 

cate of Special Freight Rate Commission. September 21, 191k- 

21. Southern Railway Company by Alfred P. Thorn, transmitting paper signed 

by common carriers relating to rates in effect according to Proclamation 
by the Governor. October 6, 191k- 

22. Statement of the Governor to the press. January 1, 1916. 

23. Statement of the Governor to the press. January 1, 1916. 

24. Letter and statement of President Fairfax Harrison of the Southern Railway, 

January k, 1916. Letter from the Governor in reply thereto. 

25. Statement to the press. January 10, 1916. 

26. Letter of President Fairfax Harrison of the Southern Railway. January 11, 

1916. 



(1) 

JOINT RESOLUTION DECLARING THE VIEWS OF THE GENERAL 
ASSEMBLY OF NORTH CAROLINA WITH REFERENCE TO INTER- 
STATE PASSENGER AND FREIGHT RATES AND CHARGES, 
AND FOR OTHER PURPOSES. JANUARY 30, 1913 



Resolution 13. 



H. R. 13. 
S. R. 166. 



A Joint Resolution Declaring the Views of the General Assembly of 
Worth Carolina with Reference to Interstate Passenger and Freight 
Rates and Charges, and for Other Purposes. 

Resolved by the House of Representatives, the Senate concurring: 

First. That in view of the General Assembly of North Carolina, Congress 
should declare illegal, under any and all circumstances, any greater charge by any 
public-service company for transporting passengers, or freights of a given kind 
and quantity, a shorter distance than is charged for transporting the same a 
longer distance in the same direction when the shorter haul is included in the 
longer. 

Second. That the Senators and Representatives in Congress from this State 
be and they are hereby requested and respectfully urged to support a bill repeal- 
ing the first and second provisos to section 4 of the Interstate Commerce Act, and 
to support such other amendments as may be necessary to make effective the 
policy declared for in the first resolution above. 

Third. That pending the enactment into law by Congress of the principles 
above declared for, it should, in the opinion of the General Assembly of North 
Carolina, be the policy of the State to press before the Interstate Commerce Com- 
mission objections to the injustice of allowing any discrimination against North 
Carolina points in favor of other points outside of the State to which hauls are 
longer than to North Carolina points, and which longer hauls include the hauls 
to such North Carolina points. 

Fourth. That in addition to the powers conferred on the North Carolina Cor- 
poration Commission to institute and prosecute cases before the Interstate Com- 
merce Commission for relief to the people of North Carolina from discriminatory 
and excessive charges by common carriers, power is conferred upon the Governor 
to institute and prosecute such cases, either independent of or in conjunction with 
the North Carolina Corporation Commission in his name on behalf of the people 
of the State, or in the name of any combined association or body of citizens, or 
in the name of the North Carolina Corporation Commission ; and for such pur- 
pose the sum of not exceeding $5,000 a year is appropriated out of any money in 
the State Treasury not otherwise appropriated, to be paid on the order of the 
Governor. 

Fifth. That the Secretary of State shall transmit to each of the United States 
Senators and Members of Congress from this State a copy of these resolutions. 



62 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

That this resolution shall be in force from and after its ratification. 
In the General Assembly read three times, and ratified this 30th day of 
January, 1913. 

(Signed) E. L. Daughtridge, 

President of the Senate. 
(Signed) George W. Connor, 

Speaker of the House of Representatives. 
Examined and found correct. 

(Signed) E. E. Austin, 

For Committee. 



(2) 

MESSAGE TO THE GENERAL ASSEMBLY IN WHICH APPOINTMENT IS 
MADE OF COMMISSION TO INVESTIGATE AND REPORT TO GEN- 
ERAL ASSEMBLY IN ACCORDANCE WITH THE JOINT RESOLU- 
TION IN REGARD TO INTERSTATE TRANSPORTATION 
CHARGES BY COMMON CARRIERS. FEBRUARY 4, 1913 

State of North Carolina 

Executive Department 

Raleigh 

To the General Assembly of the State of North Carolina: 

In accordance with the Joint Resolution of the General Assembly entitled 
"Joint Resolution in Regard to Interstate Transportation Charges by Common 
Carriers," ratified on the 3d day of February, 1913, which said resolution pro- 
vides: "That the Governor of the State be . . . empowered and requested 
to appoint a commission composed of three members, whose duty it shall be to 
take up with the common carriers by railroad, doing interstate business in this 
State of transporting freight and passengers, or with such of said common carriers 
as may seem to said commission to be wise, the question and manner of said rail- 
roads conforming to the declared policy of this State, and report in full during 
the present session of the General Assembly the result of such conference, and the 
prospect and methods of securing conformity by said common carriers to the 
State's declared policy:" 

I, therefore, in accordance with the power conferred upon me by said resolu- 
tion, do hereby appoint as the three members of the said commission: 

E. J. Justice, of the county of Guilford, 

W. B. Councill, of the county of Catawba, 

N. B. Broughton, of the county of Wake, 

to carry out the purposes of the said resolution ; and I do further hereby signify 
my readiness to sit with the said commission in accordance with the invitation in 
said resolution. Respectfully, Locke Craig, 

Governor. 



REDUCTION OF FREIGHT RATES 63 

(3) 

LETTER TO PRESIDENTS OF THE VARIOUS RAILROADS, INVITING 

THEM TO A CONFERENCE IN THE GOVERNOR'S 

OFFICE FEBRUARY 12, 1913 

State of North Carolina 

Executive Department 

Raleigh 

February 5, 1913. 

Mr. W. W. Finlet, President, Southern Railway System, Washington, D. C: 

Dear Sir : — I enclose a copy of a resolution which was duly passed by the 
General Assembly of North Carolina, and ratified on the 3d day of February, 
1913. You will see that the resolution provides, among other things, for the 
appointment of a committee to confer with said common carriers as to the State's 
declared policy in regard to freight rates now affecting the people of North Caro- 
lina. In accordance with the power conferred by the said resolution, the Governor 
of North Carolina has appointed E. J. Justice, "W. B. Councill, and N. B. 
Broughton a committee to carry out the purpose of said resolution, and the 
Governor and this committee do now most respectfully invite you to the confer- 
ence provided for in the resolution, to be held in the office of the Governor of 
North Carolina, in the city of Raleigh, on Wednesday, the 12th day of February, 
1913, at 12 o'clock m. Very truly yours, 

Locke Craig, 

Governor. 

Copy to: N. S. Meldrum, President, Seaboard Air Line System, Portsmouth, Va. 
W. W. Finley, President, Southern Railway System, Washington, D. C. 
L. E. Johnson, President, Norfolk and Western Railway Co., Roanoke, Va. 
E. T. Lamb, President, Norfolk Southern Railway, Norfolk, Va. 
Milton H. Smith, President, Louisville and Nashville R. R. Co., Louisville, Ky. 
A. B. Andrews, President, Danville and Western Railway, Raleigh, N. C. 
W. A. Barber, President, Carolina and Northwestern Railway, New York City. 
M. W. Potter, President, Carolina, Clinchfield and Ohio Railway of S. C, New 

York City. 
T. M. Emerson, President, Atlantic Coast Line, Wilmington, N. C. 



64 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(4) 

REPORT OF THE CORPORATION COMMISSION TO THE GOVERNOR 

AND COUNCIL OF STATE OF NEGOTIATIONS FOR ADJUSTMENT 

OF INTERSTATE FREIGHT RATES. AUGUST 5, 1913 

To His Excellency, Locke Craig, 

Governor of North Carolina, 

and the Council of State: 

We respectfully report to you the result of our conference with the interstate 
carriers, July 22-25, with respect to interstate freight rates; and this being our 
first formal report on the subject, we deem it well to briefly review the negotiations 
which led up to that conference. 

Shortly after the conference between the Legislative Commission and the 
carriers had been declared off by the Legislative Commission, on account of a 
suggestion made at the last of those conferences by the Chairman of the Corpora- 
tion Commission that an adjustment might be reached if the representatives of 
the State and the carriers would sit down together and talk over the differences 
informally and in detail, instead of attempting to deal at arms' length, some of the 
railroad officials requested the Corporation Commission to meet with them in that 
manner, expressing the belief that an agreement could be reached that would be 
acceptable as a settlement of the suits which the Corporation Commission had 
brought against them before the Interstate Commerce Commission to reduce these 
rates, and an adjustment of the whole matter. 

The Corporation Commission at once advised with his Excellency, the Gover- 
nor, about the matter, desiring not only to settle the matters involved in the suits 
it had brought, but to cooperate cordially with him in carrying out what he had 
announced as a policy of his administration. 

We accordingly at once arranged a meeting with the carriers, but notified 
them in the beginning that whatever agreement might be reached between them 
and the Commission would be tentative only, and would not be final or binding 
either as a compromise of our suits, or otherwise, until it was reported to the 
Governor and approved by him, after consultation with such officials and per- 
sons as he might think proper to call into conference with him. 

We assured tbe carriers of our willingness to undergo any amount of labor to 
work out a just solution of this important matter, and in conference after confer- 
ence we have contended with them, giving careful consideration to their views, 
and earnestly pressing upon them our views and the rights of the shippers of 
Worth Carolina. 

Progress was made slowly, the carriers making some concessions at each con- 
ference, having begun with the offer to the Legislative Commission as a basis. 
Finally the Commission told them that unless they could make up their minds 
to offer much more substantial reductions, negotiations would be abandoned as 
hopeless. This led to a request from the presidents of the railway lines for a 
conference with the Governor and the Corporation Commission, which was granted. 

This conference was held in Raleigh July 15th, the Council of State joining 
in the same upon the request of the Governor. 



REDUCTION OF FREIGHT RATES 65 

At this meeting the Corporation Commission, upon request of President Finley, 
speaking for the carriers, to suggest some general basis for fixing interstate rates, 
made the following suggestion : 

That through rates into North Carolina be constructed by the use of propor- 
tional rates south of the Virginia gateways, and that the proportionals be fixed 
by applying the Southern Eailway Virginia main line mileage scale (which was 
used by the Legislative Commission in making its proposition) to the average 
distances from the Virginia gateways to the respective rate zones as they now 
exist, subject to the condition that the reductions resulting to points in North 
Carolina Eate Zone ISTo. 1 (called the 61-cent zone) shall be the maximum reduc- 
tion for other zones ; except that the reduced rate so made to Statesville should be 
the maximum on western traffic for all points on the Southern Railway main 
line west of Statesville, and that the reduction to no point in the State should be 
less than the reductions made to points in Zone No. 2 (the Charlotte zone). 

And further, that upon such important commodities as already had car-load 
ratings up to the Virginia cities, car-load ratings be made south of the Virginia 
cities, to be differentials below the reduced class rates. 

The Commission stated, however, that in making this suggestion they did not 
wish to be understood as believing that it would result in as much reduction in 
the rates as the State was justly entitled to, but was in the nature of a concession 
made in a spirit of compromise. 

The railway presidents then expressed strong belief that a settlement could 
be reached on this basis, and asked for another meeting between the traffic man- 
agers and the Corporation Commission. This course being approved by the 
Governor and Council of State, the Commission met the traffic managers at Old 
Point on July 22d, and were in session four days. 

We submit to you below the result of that meeting: 

The Commission first took up the adjustment ot Western rates, and commenced with 
this by attempting to agree upon the rates to the points in what was termed Zone No. 1, 
this being the largest and most representative rate zone in the State. The existing rates 
to most other parts of the State are made with relation to these. It was, therefore, 
thought that rates being once fixed to this zone, the rates to all other parts of the State 
could easily be adjusted to conform relatively to them. 

GREENSBORO— ZONE No. 1 

This zone embraces all points on the main line of the Southern Railway from Winston- 
Salem to Goldsboro, inclusive, and from points on the Southern Railway from Greensboro 
to Ellisboro, inclusive. All points on the Seaboard Air Line Railway from Littleton to 
Cary, inclusive, and from Henderson to Durham, including Oxford; also its branch line 
to Louisburg. All points on the Atlantic Coast Line Railroad from Ruggles to Goldsboro, 
inclusive, and from Contentnea to Smithfield, inclusive; on its branch line from Halifax 
to Kinston, inclusive, and on its branch line from Rocky Mount to Spring Hope, inclusive. 
Also from Rocky Mount to Hobgood, inclusive, except Tarboro. On the Williamston branch 
from Mildred to Everetts, inclusive. On the Washington branch from Parmele to Grimes, 
inclusive. Points on the East Carolina Railway between Henrietta and Farmville, in- 
clusive. Points on the Norfolk Southern Railroad from Grimesland to Raleigh, inclusive. 
All points on the Norfolk Southern Railroad, Goldsboro to New Bern, and points between 
New Bern and Washington, exclusive of New Bern and Washington. 

5 



66 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

The average distance from the Virginia cities to all points in this zone is 189 miles, 
and the existing rates from all Virginia cities are the same to all points in this zone, 
and are as follows: 





























Grain. 


Flour. 


Potatoes, 


1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. 


C.L. 


61 


51 


42 


32 


28 


21 


17 


22 


21 


18 


28 


32 


42 


18 


21 


21 



Upon the basis suggested by the Commission (as slightly modified) the proportional 
rates from all the Virginia cities to all points in this zone, to be used in making through 
rates, would be as follows: 



























Grain. 


Flour. Potatoes. 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. C.L. 


43 


33 


24 


21 


16 


15 


17 


16 


14 


19 


23 


32 


12 


14 14 



50 

This would make proportional rates lower than the local rates from Virginia cities 
and reduce total through rates to the following extent: 





















Grain. 


Flour. Potatoes. 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. C.L. 


7 


5 


2 


5 


5 


4 


9 


9 


10 


6 


7 7 



After prolonged negotiations and several different offers, which were declined by the 
Commission, the carriers offered as their final figures, beyond which they expressed 
themselves as unwilling to go, proportionals lower than existing local rates from Vir- 
ginia cities to the following extent: 





























Grain. 


Flour. Potatoes. 


1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. C.L. 


11 


8 


8 


6 


6 


4 


2 


3 


4 


4 


5 


5 


8 


5 


6 6 



This would result in total through rates higher than those suggested by the Commis- 
sion to the following extent: 





























Grain. 


Flour. 


Potatoes. 


1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. 


C.L. 








1 


2 


1 


1 





2 


1 





4 


4 


2 


1 


1 


1 



The final offer of the carriers would result in total through rates from Cincinnati, 
Ohio, and Louisville, Ky., to all points in this zone, compared with existing total through 
rates, as follows: 

Grain Flour. Pts. Special Iron. 

1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 

Present 93 79 64 47 40 31 27 37 32 29 42 44 64 29 32 31 27 31 

Proposed 82 71 56 41 34 27 25 34 28 25 37 39 56 24 26 25 25 29 

Reductions 11 886642344558 5 6 6 2 2 

All rates from the West to North Carolina territory are based upon the rates from 
Ohio River Crossings, the principal ones of which as affecting our territory are Cincin- 
nati, Ohio, and Louisville, Ky. It, therefore, follows that when the rates are fixed from 
Cincinnati and Louisville this automatically fixes the rates from all western territory 
beyond these points. It was clearly understood between the Commission and the carriers 
that the present method of constructing rates from western territory beyond Cincinnati 
and Louisville should be continued, and that rates from Memphis, St. Louis, and Nash- 
ville be revised so as to preserve present relationship. 

It will be noted that the reductions proposed are relatively greater on the lower 
classes than on first and second class. 

The following table will show the reductions which the proportionals suggested by 
the Commission would make under the local rates from Virginia cities, both in cents per 
one hundred pounds and in percentages: 



REDUCTION OF FREIGHT RATES 67 

Grain. Flour. Pts. 

1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. 

Present 61 51 42 32 28 21 17 22 21 18 28 32 42 18 21 21 

Proposed 50 43 33 24 19 16 15 17 16 14 19 23 32 12 14 15 

Reduction 11 89895255499 10 6 7 6 

Percentages: 18 16 21 25 32 23 11 22 23 22 32 28 23 335 33} 28 

Average Percentage: 24.00. 

The following table will show the reductions made by the proportionals offered by the 
carriers under the local rates from Virginia cities, both in cents per one hundred pounds 
and in percentages: 

Grain. Flour. Pts. Special Iron. 

1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 

Present 61 51 42 32 28 21 17 22 21 18 28 32 42 18 21 21 17 21 

Proposed 50 43 34 26 22 17 15 19 17 14 23 27 34 13 15 15 15 19 

Reduction 11 886642344558 5 6 6 2 2 

Percentages: 18 16 19 19 21 19 12 14 19 22 18 16 19 2S 29 28 

Average percentage: 19.80. 

The fact that the greater reductions offered are in the lower classes is to the advan- 
tage of the State, because of the fact that nearly all of the traffic from the "West is moved 
under the lower classes, and very little of it is moved under the higher classes. To illus- 
trate the practical effect of the proposed reductions, we mention some of the principal 
commodities which are moved in large quantities from the West, the class under which 
they move, and what the proposed reductions would amount to per car-load: 

Hay moves less than car-load under fifth class, and the reduction being 6 cents per 
hundred pounds, would amount to $1.20 per ton. In car-loads it moves at grain rate, the 
minimum weight being 24,000 pounds; the reduction of 5 cents per hundred pounds would 
save on a car-load $12. 

Grain and grain products, other than flour, move under Class D, less than car-loads, 
on which there is a reduction of 4 cents per hundred pounds, or 22.20 per cent lower than 
the existing local rate. The special car-load rate proposed is a reduction of 5 cents per 
hundred pounds from existing local from Virginia cities, which is 28 per cent. On a car- 
load, the minimum weight being 40,000 pounds, would save $20 per car. 

Flour, in sacks, less than car-load, moves under Class C, on which there is a reduction 
of 4 cents per hundred pounds, or 19 per cent, and in barrels less than car-load it moves 
under Class F, the existing rate being 42 cents per barrel. The proposed reduction is 8 
cents per barrel, or 19 per cent. Car-loads it moves under the special proposed car-load 
rating, which is a reduction of 6 cents per hundred pounds, which is 28.60 per cent. On 
a car-load, minimum weight 40,000 pounds, would save $24 per car. 

Canned goods of the following description, namely, fruit and vegetables, including 
beans with pork, corn, tomatoes, peas, etc., in car-loads move under fifth class. The 
reduction on this is 6 cents per hundred pounds from the existing local rate of 28 cents 
per hundred pounds, being 21.40 per cent. On a car-load of 36,000 pounds minimum 
would save $21.60 per car. 

Fresh meats of all kinds move under fourth class. The reduction proposed of 6 cents 
per hundred pounds from the existing local rate of 32 cents per hundred pounds, being 
19 per cent, would save on a car-load, minimum weight 20,000 pounds, $12 per car. 

Agricultural implements: This class covers the general run of agricultural implements 
and machinery, such as disc harrows, manure spreaders, mowers, mowing and reaping 
machines, planters, plows, plow bases, plow handles, single-trees, binders, pruners, rakes, 
scythes, etc. These move in car-load lots under sixth class, upon which there is a pro- 
posed reduction of 4 cents per hundred pounds from the existing local of 21 cents, being 
19 per cent. This reduction on a car-load, minimum weight 20,000 pounds, would save 
$8 per car. Most of the agricultural implements in less than car-load quantities move 



68 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

either under third or fourth class, the reduction on third class heing 8 cents per hundred 
pounds and on fourth class 6 cents per hundred pounds, amounting in each instance to 
about 19 per cent. 

Wire fencing in less than car-load lots moves under fifth class, on which there is a 
proposed reduction of 6 cents per hundred pounds from the existing local of 28 cents, 
being 21.40 per cent. In car-loads it moves under sixth class, on which there is a pro- 
posed reduction of 4 cents per hundred pounds from the existing local of 21 cents. This 
would result in a reduction on a car-load, minimum weight 30,000 pounds, of $12. 

The comparison below will show the effect of the proposed reductions upon the North 
Carolina merchant and jobber in his competition with merchants and jobbers of the Vir- 
ginia cities in North Carolina territory. The rates from Cincinnati and Louisville to 
North Carolina territory are made by the use of proportional rates from Cincinnati and 
Louisville to the Virginia cities, then there is added to this proportional the rate from 
Virginia cities to the North Carolina points. These proportionals are as shown in the 
first line of the table below, and by adding to them the proposed proportionals south of 
Virginia cities, shown in the second line of this table, we get the total rates which the 
North Carolina shipper must pay on goods from Cincinnati and Louisville to points in 
Zone No. 1: 

Grain. Flour. Pts. Special Iron. 

1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 

Present 32 28 22 15 12 10 10 15 11 11 14 12 22 11 11 10 10 

Proposed 50 43 34 26 22 17 15 19 17 14 23 27 34 13 15 15 16 

Reduction 82 71 56 41 34 27 25 34 28 25 37 39 56 24 26 25 26 

The Virginia cities merchants and jobbers on goods shipped from Cincinnati and Louis- 
ville to the Virginia cities to be distributed to North Carolina must pay a higher rate up 
to the Virginia cities than is charged on shipments through to North Carolina, and in 
addition to that would have to pay the full local rate from the Virginia cities to the 
North Carolina points. The following table shows, in the first line, the rates from Cin- 
cinnati and Louisville to the Virginia cities proper, which the Virginia cities merchant 
must pay, and in the second line the local which he must pay to the North Carolina 
points in Zone No. 1, and the third line the total cost to the Virginia merchant to reach 
North Carolina points when distributing from the Virginia cities proper: 

12 3 4 5 6 
62 53J 405 275 23 181 
61 51 42 32 28 21 

123 1045 S25 595 51 395 

The difference, therefore, in favor of the North Carolina shipper is as shown in the 
table below: 



1 


2 


3 


4 


5 


6 


123 


1045 


825 


595 


51 


395 


82 


71 


56 


41 


34 


27 



41 331 265 18J 17 125 

It will be seen that the difference in favor of the North Carolina shipper is such that 
he can ship back to territory around him under the North Carolina scale to distances 
ranging from 40 to 60 miles before meeting the rates which the Virginia cities man has 
to pay. 

This advantage to the North Carolina merchant applies to this extent only in respect 
to shipments originating at Cincinnati and Louisville and other Ohio River Crossings. 
The difference is not so great in his favor on shipments from points beyond Cincinnati 
and Louisville, for the reason that on such shipments the proportional rate in our favor 
as against the Virginia cities of 30 cents less than the rate to Virginia cities proper is 



REDUCTION OF FREIGHT RATES 69 

reduced to a differential in our favor of only 5 cents per one hundred pounds at Chicago. 
For instance, on shipments from Chicago territory the rates to Virginia cities, together 
with the local thence to North Carolina points, are as follows: 



1 


2 


3 


4 


5 


6 


72 


62 


47 


32 


27 


22 


61 


51 


42 


32 


28 


21 



133 113 89 64 55 43 

On shipments to North Carolina points using the proposed proportionals south of 
Virginia cities would cost the North Carolina merchant as follows: 



1 


2 


3 


4 


5 


6 


67 


58 


44 


30 


25 


20 


50 


43 


34 


26 


22 


17 



117 101 78 56 47 37 

Resulting in total differences in favor of the North Carolina shipper on shipments 
from Chicago territory as follows: 

1 2 3 4 5 6 

16 12 11 8 8 6 

Note. — These comparisons are made only upon the six numbered classes, for the 
reason that shipments from Chicago to Virginia cities are covered by official classifica- 
tion, which carries only the six numbered classes. 

CHARLOTTE— ZONE No. 2 

This zone includes all territory on the Southern Railway main line from Lexington 
to Charlotte, including all points between Salisbury and Statesville, all points on the 
Mooresville branch between Winston-Salem and Charlotte, exclusive of Winston-Salem. 
On its branch line from High Point to Asheboro, not including High Point; all points 
on the Greensboro-Sanford branch; all points Climax to Ramseur, and Salisbury to 
Norwood. All points on the Winston-Salem Southbound between Winston-Salem and 
Wadesboro, not including Winston-Salem. All points on the Seaboard Air Line from 
Apex to Charlotte via Hamlet and Monroe, inclusive; its branch line from Moncure to 
Pittsboro. All points on the Randolph and Cumberland from Cameron to Carthage. All 
points on the Atlantic Coast Line from Goldsboro to Wrightsboro, not including Golds- 
boro; on its branch line Warsaw to Clinton; on its main line from Four Oaks to Fayette- 
ville, inclusive; on its line from Fayetteville to Sanford. All points on the Raleigh, 
Charlotte and Southern from Asheboro to Aberdeen, including Mount Gilead branch and 
its line from Colon to Star. 

The average distance to all points in this zone is 235 miles. 

The Commission suggested that through rates to this zone be constructed by the use 
of proportionals from the Virginia cities, which should be less than the existing local 
rates to the following extent: 





























Grain. 


Flour. Potatoes. 


1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. C.L. 


11 


8 


9 


8 


7 


5 


2 


5 


5 


4 


9 


9 


10 


6 


7 6 



The carriers' final proposition was to make the proportionals from the Virginia cities 
to this zone less than existing local rates to the following extent: 



l 
11 





















Grain. 


Flour. 


Potatoes. 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. 


C.L. 


6 


4 


2 


3 


4 


4 


5 


5 


8 


5 


6 


6 



The final proposition of the carriers would result in through rates from Cincinnati 
and Louisville, to all points in this zone, compared with existing rates, as follows: 



70 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Grain. Flour. Pts. 

1 23456ABCDEHF C.L. C.L. C.L. 

Present... 100 86 70 53 45 35 28 39 34 31 47 50 68 31 34 35 

Proposed 89 78 62 47 39 31 26 36 30 27 42 45 60 26 28 29 

Reduction 11 886642344558 5 6 6 

This would make the proportionals from the Virginia cities and the total through 
rates to this zone higher than suggested by the Commission to the following extent: 

Grain. Flour. Potatoes. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. 
0012110210442 1 1 

HOPE MILLS— ZONE No. 3 

This zone is composed of all points on the Seaboard Air Line between Wilmington 
and Hamlet, not including Wilmington and Hamlet; all points on the Atlantic Coast 
Line between Wilmington and Fayetteville, exclusive of Wilmington and Fayetteville; 
all points on the Atlantic Coast Line between Hope Mills and Pembroke, inclusive, and 
from Parkton to Maxton; all points on the Virginia and Carolina Southern north of 
Lumberton, and all points on the Aberdeen and Rockfish Railroad. 

The Commission deeming the existing rates to this zone as relatively higher than the 
existing rates to the two preceding zones, asked for greater reductions to all points in 
it than had been suggested to Zones 1 and 2, in order to put the same in proper relation 
with them. The carriers, however, were very firmly opposed to granting any greater 
reductions to this territory than the same reductions in each class as should be given 
to Zone No. 2. 

The existing rates to this zone from the Virginia cities are as follows: 

Grain. Flour. Potatoes. 
123456ABCDEHF C.L. C.L. C.L. 
80 70 60 50 40 32 22 28 25 22 41 47 50 22 25 32 

The final proportional rates proposed by the carriers from the Virginia cities to this 
zone were: _ . 

Grain. Flour. Potatoes. 
123456ABCDEHF C.L. C.L. C.L. 
69 62 52 44 34 2S 20 25 21 18 36 42 42 17 19 26 



Resulting in the following reductions: 

1 2 3 4 5 6 A B 

11 886642344558 5 6 6 



Grain. Flour. Potatoes. 
12345 6ABCDEHF C.L. C.L. C.L. 



The present rates to this zone from Cincinnati and Louisville are as shown below, 
and those which would result from the proportionals offered by the carriers: 

Grain. Flour. Pts. 

1 2345 6ABCDEHF C.L. C.L. C.L. 

Present 112 9S S2 65 52 42 32 43 36 33 55 59 72 33 35 42 

Proposed 101 90 74 59 46 38 30 40 32 29 50 54 64 28 30 36 

Reduction 11 886642344558 5 5 6 

GIBSON— ZONE No. 4 

This zone embraces all points on the Atlantic Coast Line from Wilmington to Pair 
Bluff, exclusive of Wilmington, and all other points between the Seaboard Air Line from 
Wilmington to Monroe and the South Carolina line. 

The carriers' final proposition was reductions to points in this zone as follows: 

12 3 4 5 
5 5 5 5 2 

















Grain. 


Flour. 


Potatoes. 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. 


C.L. 


1 


1 


2 


2 


2 


2 


4 


3 


4 


3 



REDUCTION OF FREIGHT RATES 71 

GASTONIA AND POINTS SOUTH OP CHARLOTTE 
The carriers' final proposition offered the following reductions: 





























Grain. 


Flour. 


Potatoes. 


1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. 


C.L. 


s 


5 


5 


5 


3 


I 


1 


1 


4 


4 


2 


6 


2 


5 


6 


3 



The use of the proportionals made by these reductions would make through rates 
from Cincinnati and Louisville, compared with existing rates, as follows: 

Grain. Flour. Pts. 

1 2345 6ABCDEHF C.L. C.L. C.L. 

Present 112 98 82 65 52 42 32 43 36 33 55 59 72 33 36 42 

Proposed 107 93 77 60 50 41 31 42 34 31 53 57 68 30 32 39 



Reduction 5555211122224 3 4 3 

Existing rates to Gastonia are higher than Gibson 1 cent in fifth class and 2 cents 
each in Classes C and D, and reductions were made so as to make the proposed new 
rates the same. 

The carriers declined to make greater reductions in these zones, because it would 
make such abrupt differences between points in it and points just across the line in 
South Carolina. 

WEST OF STATESVILLE 

The Commission suggested that on western traffic the new rates to Statesville be the 
maxima for all main line points west of Statesville, for the reason that these points 
all being nearer to Cincinnati and Louisville, on the same line of railroad, than States- 
ville, ought not to pay any higher rate. 

The Commission also intended this to apply to Lincolnton, Shelby, and Rutherford- 
ton, and all intermediate points. 

If this suggestion had been followed it would have resulted in very large reductions, 
greater than in any other part of the State, as the present rates to this territory are 
relatively very high. For example, the reduction to Marion, which is the highest rate 
point, under the proposal of the Commission would have been: 





























Grain. 


Flour. 


Potatoes, 


1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. 


C.L. 


26 


24 


23 


20 


15 


14 


6 


9 


9 


4 


16 


19 


12 


5 


11 


16 



The carriers declined to grant these reductions, and offered specific through rates to 
these points,- together with a list of commodity rates. 

HICKORY AND LINCOLNTON 

The reductions proposed by the carriers to these points are: 

Grain. Flour. Potatoes. 
12345 6ABCDEHF C.L. C.L. C.L. 

11 555311241464 2 6 3 

These would result in the following total rates from Cincinnati and Louisville: 

Grain. Flour. Potatoes. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. 

101 93 77 60 50 41 31 42 34 31 53 57 68 30 32 39 

MARION GROUP 

The carriers' final offer proposed to fix through rates from Cincinnati and Louisville 
to Marion, which should be the maxima to all points between Marion and Asheville, and 



72 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

which should also apply to Shelby, Rutherfordton, Morganton, Hendersonville, and 
Waynesville, and be a maxima to points intermediate. 
The through rates so proposed by them are: 





























Grain. 


Flour. Potatoes. 


1 


2 


3 


4 


5 


6 


A 


B 


c 


D 


E 


H 


F 


C.L. 


C.L. C.L. 


106 


93 


78 


63 


52 


41 


31 


42 


34 


31 


S3 


57 


63 


30 


32 39 



Compared to existing rates to Marion, they make the following reductions: 

Grain. Flour. Pts. 

1 23456ABCDEHF C.L. C.L. C.L. 

Present 116 102 86 67 55 47 32 47 39 31 5S 64 72 31 39 47 

Proposed. 105 93 78 63 52 41 31 42 34 31 53 57 68 30 32 39 

Reduction 11 984361550574 1 7 8 

SHELBY AND RUTHERFORDTON 

Application of the proposed Marion rates to these points would make the following 
reductions, and apply to all intermediate points: 

Grain. Flour. Pts. 

12 34 5 6ABCDEHF C.L. C.L. C.L. 

Present 116 102 86 66 55 44 34 47 39 36 59 65 77 36 39 44 

Proposed 105 93 78 63 52 41 31 42 34 31 53 57 68 30 32 39 



Reduction 11 983353555689 6 7 5 

MORGANTON 

Observance of the proposed Marion rates to Morganton, which would apply to inter- 
mediate points, would result as follows: 



Flour. Pts. 



12 3456ABCDEH 

Present 116 102 86 67 55 47 33 47 39 31 59 65 

Proposed 105 93 78 63 52 41 31 42 34 31 53 57 



F 


C.L. 


C.L. 


C.L, 


73 


31 


39 


47 


68 


30 


32 


39 



Reduction 11 984362550685 1 7 8 

WAYNESVILLE AND HENDERSONVILLE 
Observance of the Marion rates as maxima to these points would result as follows: 

Grain. Flour. Pts. 

12 3456ABCDEHF C.L. C.L. C.L. 

Present 116 102 88 72 59 49 32 47 39 30 56 63 71 30 39 49 

Proposed 105 93 78 63 52 41 31 42 34 28 53 57 68 26 31 39 

Reduction 11 9 10 9781552363 4 8 10 

The Commission requested the carriers to offer to points just mentioned, viz., Hick- 
ory, Lincolnton, Shelby, Rutherfordton, Morganton, Marion, Newton, and intermediate 
points, the following rates, which they declined to do: 

Grain. Flour. 
1 23456ABCDF C.L. C.L. 

103 89 75 60 50 38 30 40 32 30 63 27 28 

The final rates offered by the carriers are higher than these to the following extent: 

243323122103 4 





















Grain. 


Flour. Potatoes. 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. C.L. 


7 


5 


2 


5 


5 


4 


9 


9 


10 


6 


7 5 



REDUCTION OF FREIGHT RATES 73 

ASHEVILLE 

The basis suggested by the Commission would have made the reduction in the Ashe- 
ville rates the same as proposed to Statesville, viz.: 

l 2 3 

10 8 9 : 

But the carriers would only consent to lower the rates to the extent shown in the 
following table: 

Grain. Flour. Pts. 

1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. 

Present... 99 88 77 65 55 46 28 43 36 27 52 58 63 27 52 46 

Proposed 94 84 75 62 52 41 26 36 30 25 47 53 58 24 44 39 

Reduction 5423352762555 3 8 7 

To compensate in some degree for the refusal to grant the reduction asked, they 
offered a quite advantageous list of commodity rates, lower than the class rates, which 
is attached to the report of the carriers, which accompanies our report. 

The reason assigned by the carriers for not granting greater reductions to Asheville 
were that the rates proposed are lower than the rates from Cincinnati to Atlanta, Ashe- 
ville being 439 miles and Atlanta 487 miles from Cincinnati; and also that further reduc- 
tions would compel great reductions in rates on the Southern lines into Tennessee and 
South Carolina. 

We find that some of the proposed class and commodity rates are above and some 
below Atlanta rates, the difference not being great. The comparison of class rates being 
as follows: 

123 45 6ABCDEHF 

Atlanta 98 87 78 63 52 41 28 36 28 24 48 48 48 

Proposed Asheville 94 84 75 62 52 41 26 36 30 25 47 53 68 

WILMINGTON AND OTHER POINTS 

The Commission urged reductions to Wilmington and other water competitive points 
on the coast of North Carolina — not to the same extent, but with some relation to the 
reductions to inland points, in order to measurably preserve present relations; but the 
carriers declined to make any reductions to these points. 

Wilmington rates from Cincinnati and Louisville, on account of water competition, 
are lower than to other parts of the State, and are as follows: 



1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


82 


68 


53 


41 


32 


25 


19 


27 


23 


21 


36 


32 


46 



With car-load rate on grain and flour of 20 cents. 
The following rates were suggested: 

4203211231402 

With the understanding that relative reductions also be made to the other water 
points, viz.: Morehead City, Beaufort, New Bern, Washington, Plymouth, Edenton, and 
Elizabeth City. 

These points now have rates from Virginia cities, beginning with first class: More- 
head City and Beaufort, 53 cents; New Bern, 46 cents; Washington, 45 cents; Plymouth, 
45 cents; Edenton, 38 cents; Elizabeth City, 30 cents; the last two being from Norfolk 
only. 



74 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

POINTS BETWEEN ZONE No. 1 AND VIRGINIA LINE 

Much controversy was had over rates from points between Zone No. 1 and the Vir- 
ginia line, they never having been treated on the same zone basis. 

These include points on Southern Railway between Greensboro and the State line, 
including Reidsville; points on the Atlantic Coast Line and Seaboard Air Line Rail- 
ways from Weldon to State line, inclusive; points on Seaboard Air Line Railway from 
Boykin, Va., to Lewiston; points on the Atlantic Coast Line Railroad from Hobgood to 
Virginia State line, and points on the Norfolk Southern from Washington to Virginia 
State line; and on the Norfolk and Western between Winston-Salem and the Virginia 
State line, and Durham and the Virginia line. 

This territory generally has rates beginning at 55 cents first class to points nearest 
to Zone No. 1 (which has a 61 cents rate) and scaling down slightly to points near the 
Virginia line. 

The Commission contended that the rates in all this territory be so reduced that they 
would be the same percentage of the proposed new rates that they are of existing rates, 
which would put the 55 cents points down to 45 cents and proportionately reduce the 
others. 

The carriers were firm in their refusal to do this, and would only agree to so reduce 
them that the rates to no point in this territory should be higher than rates to Zone 
No. 1, which has the effect of putting rates to 55 cents points, such as Weldon and Lewis- 
ton, and 52 cents points, such as Reidsville and Rich Square, on 50 cents basis, the same 
as proposed to Zone No. 1, resulting in relatively much smaller reductions to this terri- 
tory than to other parts of the State. 

The view of the Commission was that these points, on account of their closer prox- 
imity to the Virginia cities, were entitled to have lower rates from them than Zone No. 1, 
as they have always had. 

NORTHERN AND EASTERN RATES 

The Commission suggested adjustment of these rates by use of proportionals south of 
Virginia cities in the same manner as was proposed as to western rates. 

The carriers, however, would not seriously entertain this, for the reason, as claimed 
by them, that it would destroy the relation of rates as between the markets north of 
us, and cited as illustrative of this that it would make the difference in rates from 
Baltimore to North Carolina points and from Richmond to the same points only 5 cents, 
which would afford just ground of complaint to Richmond. 

The carriers proposed to observe combinations of current locals on Norfolk, Rich- 
mond, Lynchburg, and Roanoke, and to observe combination of all-rail rates from 
interior points, and assert that this would result in substantial relief on important 
commodities, as partially illustrated in their report, herewith sent, page 28. 

BUFFALO-PITTSBURG DISTRICT 

The Commission suggested that rates from Buffalo-Pittsburg District be also adjusted 
by the use of proportionals south of Virginia cities, as had been suggested as to western 
rates. The carriers, however, declared that they were not then prepared to deal with 
that question: 

1. Because they did not have with them tariffs which would enable them to deter- 
mine the effect of that basis; and 

2. Because they could not determine that question without consulting their eastern 
connections, opportunity for which had not been had. 

They agreed, however, to take the suggestion under consideration, expressing a belief, 
however, that that method of adjustment would be impracticable. 



REDUCTION OF FREIGHT RATES 75 

SOUTHERN RATES 

The carriers agreed to undertake the revision of rates on bananas in car-loads to 
North Carolina territory, involving reductions to representative points as follows: 

Raleigh 11 cents per cwt. 

Greensboro 11 cents per cwt. 

Salisbury 12 cents per cwt. 

Charlotte 13 cents per cwt. 

Asheville 13 cents per cwt. 

Other adjustments were taken up and discussed, but no conclusion made in respect 
to them, particularly a desired reduction in the coal rates to North Carolina. 

After failure of the carriers and the Commission to reach an entire agreement in 
respect to western rates, it seemed difficult to enter earnestly into consideration about 
other matters. With the western rates once agreed upon, it is our opinion that other 
matters can be taken up much more successfully, and that an agreement upon the first 
important matter of difference would be a strong inducement towards the settlement of 
others. 

It was understood that in the event of an adjustment of rates, the rates on all branch 
lines and to all points not herein mentioned should be so revised that they would bear 
the same relation to the proposed new rates that they do to the existing rates. 

It was further understood that the proposed adjustment should not have the effect of 
raising any rates at any points which are now lower than this adjustment, this agree- 
ment having special reference to Fayetteville. 

CONCLUSION 

The Corporation Commission makes no recommendation in respect to the 
matters set out in this report, for the reason that it has not itself reached a con- 
clusion about the matter, and does not desire to do so until it has had the advan- 
tage of consultation with the Governor, the Council of State, the Legislative Com- 
mission, and such other persons and organizations as the Governor may think 
proper to call into conference upon the matter, and for the further reason that 
the Commission deems it desirable that whatever conclusion may be reached upon 
the matter shall be, if possible, harmonious. 

The Commission had with it in this conference the assistance and advice of 
Mr. J. L. Graham, of Winston-Salem, ~N. C, regarded by us as one of the ablest 
and most experienced rate experts in the State not associated with the railroads. 
His services were of great value to us. 

We herewith hand you the detailed report of the negotiations submitted by 
the carriers. Respectfully submitted, 

E. L. Travis, Chairman. 
W. T. Lee, Commissioner. 
George P. Pell, Commissioner. 
A. J. Maxwell, Clerk. 



76 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

MEMORANDUM OF CONFERENCE AT 

HOTEL CHAMBERLIN, OLD POINT COMFORT, VIRGINIA 

JULY 22 TO 25, 1913, INCLUSIVE 

BETWEEN 

Chairman Travis, Commissioners Lee, Pell, and Secretaet Maxwell, of the North 
Carolina Corporation Commission; J. L. Graham of Winston-Salem, N. C, in 
Advisory Capacity 

AND 

C R. Capps, V. P. ) 

_ _ J. Seaboard Ant Line Railway 

G. S. Rains, G. F. A. I 

R. A. Brand, V. P. ) 

> Atlantic Coast Line Railway 
J. W. Perrin, G. F. A. ) 

J. R. Ruffin, F. T. M., Norfolk and Western Railway 
E. D. Kyle, T. M., Norfolk Southern Railroad 



J. M. Culp, V. P. 
L. Green, F. T. M. 



Southern Railway Company 



This conference was held in pursuance of suggestion made by the Railway Execu- 
tives in conference with Governor Craig, members of the North Carolina Corporation 
Commission, and Council of State, in Raleigh, N. C, July 15, 1913, as follows: 

Mr. FINLEY: "I suggest, having in mind, and I am sure the other officers here of 
the other railroads feel that way about it, that we have reached a point from which I 
think we can take hold of this question again. I think we are getting to look at this 
question somewhat alike in the way of an adjustment. The best thing to do now is for 
the committee, the representatives of the State, to meet with the railroads and see what 
they can work out now from what has been discussed, what has been submitted, and 
with the assurance that they will do that — that something shall be done in a short time. 
If the Commissioners and the Traffic Officers of the railways are not able to agree, the 
Executive Officers will again meet here. I make this suggestion because I think it is 
the best way to get results. I think the Traffic Officers should get together very 
promptly." 

The matter that had been "submitted" was a basis proposed by the North Carolina 
Corporation Commission for the construction of rates from the West to North Carolina 
points, namely: 

That said rates be made by the use of proportional rates south of Virginia gateways, 
applying Southern Railway Virginia main-line mileage scale for the average distances 
from the Virginia gateways to the respective North Carolina rate zones as they now 
exist, subject to the condition that the reductions resulting to points in North Carolina 
Rate Zone No. 1 (the zone to which the scale of local rates from Virginia cities, begin- 
ning with 61 cents, first class, now applies), shall be the maximum reduction for other 
North Carolina rate zones; except that the reduced rates to Statesville, N. C, should 
be the maximum for points on Southern Railway main line west of Statesville, and 
that no reduction to any point in the State should be less than the reduction made to 
points in Zone No. 2, Charlotte, etc. 

A suggestion was also made by the Commission at the conference in Raleigh, July 
15th, that commodity rates should be established on important articles in car-load lots, 



REDUCTION OF FREIGHT RATES 77 

differentials below the reduced class rates, but no definite suggestion was made at the 
Raleigh conference as to the measure of these differentials. 

At the present conference at Old Point, July 22-25th, the Commission proposed that 
as to grain and grain products, car-load rates should be made 2 cents per hundred 
pounds lower than the reduced rates on Classes C, D, and F, respectively, and that a 
commodity rate be also established on potatoes in car-loads a differential below the 
reduced class rate. 

The special iron rates included in this memorandum, except those to Asheville and 
other western North Carolina points, were not a subject of discussion at the confer- 
ences. They were inserted in response to a request of the Commission just prior to 
adjournment, and the reductions shown are the suggestion of the carriers: 

Predicated on the basis outlined by the Commission, rates from Cincinnati and 
Louisville to representative points in North Carolina, would be reduced as follows: 

TO GREENSBORO— ZONE No. 1 

Gr. Fir. Pts. Spl. Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
Present rates from 

Cincinnati and 

Louisville 93 79 64 47 40 31 27 37 32 29 42 44 64 29' 32 31 27 31 

From Virginia 

Cities proper.... 61 51 42 32 28 21 17 22 21 18 28 32 42 IS 21 21 17 21 

Southern Railway 

Va. main-iine 

mileage scale for 

189 miles 50 43 33 23 19 16 15 19 16 14 19 23 32 14 16 16 16 16 

Reduction 11 89995235499 10 4 5 5 1 5 

The Commission modified its request as to the measure of reduction to points in 
Zone 1, to the extent of 1 cent on fourth and 2 cents on fifth class. As modified, the 
carriers were asked to make the following reductions: 

Grain. Flour. Potatoes. Special Iron. 
1 23456ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 

11 89875255499 10 6 7 5 1 5 

The carriers after thorough consideration of the reductions proposed by the Com- 
mission, sought the latter's acceptance of the following: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
98754223224544 5 4 2 2 

which the Commission declined. 

Subsequently and finally, the carriers presented the following figures: 

Grain. Flour. Potatoes. Special Iron. 
123456ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
11 8765423445585 6 4 2 2 

The Commission offered to report without recommendation to the Governor, for 
his consideration, the following figures, if the carriers would offer them as a propo- 
sition: _ . 

Grain. Flour. Potatoes. Special Iron. 
12345 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
11 8877424445585 6 4 2 2 

The carriers announced that the reductions represented by their final figures were 
all that they could make. On basis of these, the comparison as to rates from Cincin- 
nati and Louisville to points in Zone 1 is as follows: „ . 

Gram. Flour. Pts. Special Iron. 

12345 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 

Present _. 93 79 64 47 40 31 27 37 32 29 42 44 64 29 32 31 27 31 

Proposed 82 71 57 41 35 27 25 34 28 25 37 39 56 24 26 27 25 29 



78 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

TO CHARLOTTE— ZONE No. 2 

The basis proposed by tbe Commission, viz.. Southern Railway Virginia main-line 
scale for an average distance of 235 miles, would produce the following results: 

1 2 3 4 5 6ABCDEHF 

Present locals from Virginia cities proper 68 58 48 38 33 25 18 24 23 20 33 38 46 

Southern Ry. Va. mileage scale (or 235 miles. 58 48 38 27 24 18 18 23 17 15 24 27 34 



s 


6 


A 


B 


C 


D 


E 


H 


F 


7 


S 





1 


5 


4 


9 


9 


10 



Reductions 10 10 10 11 9 7 1 6 5 9 11 12 

Modified by the provision that reductions to Zone 1 should be maxima to Zone 2, 
the figures would be as follows: 

12 3 4 

10 8 9 8 

The reductions proposed by the Commission at the present conference were: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
10 89875255499 10 6 7 5 6 

The carriers submitted for the Commission's acceptance the following: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
98754201224544 5 4 2 

The Commission declined to accept these figures. 

Subsequently and finally, the carriers submitted the following: 

Gr„in. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 

10 8765421445585 6 4 2 3 

The Commission offered to report without recommendation to the Governor, for his 
consideration, the following figures, if the carriers would offer them as a proposition: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 

11 887742444558 5 6 4 2 4 

The carriers announced that the figures they had finally submitted represented the 
limit beyond which they could not go. 

The following is a comparison of present rates from Cincinnati and Louisville to 
Charlotte with those that would result from the reduced proportions contemplated by 
the carriers' final suggestion: 

Grain. Flour. Pts. Special Iron. 

1 23456ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 

Present 100 86 70 53 45 35 28 39 34 31 47 50 68 31 34 35 28 34 

Proposed 90 78 63 47 40 31 26 38 30 27 42 45 60 26 28 31 26 31 



Reduction 10 876542144558 5 

TO HOPE MILLS— ZONE No. 3 
The carriers suggested reductions as follows: 





























Grain. 


Flour. Potatoes. 


1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. C.L. 


9 


8 


7 


5 


4 


2 


1 


1 


2 


2 


4 


5 


4 


4 


5 4 



■REDUCTION OF FREIGHT RATES 79 

The Commission offered to report the same reductions to points in this zone as to 
points in Zone No. 2, which were: 

Grain. Flour. Potatoes. Special Iron. 
123456ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
11 8877424445585 6 4 2 4 

The final reductions suggested by the carriers, beyond which they felt they could 
not go, were as follows: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
10 8765421445585 6 4 2 4 

The following is a comparison of present rates from Cincinnati and Louisville to 
Hope Mills, and of those that would result from the final basis submitted by the 
carriers : 

Grain. Flour. Pts. Special Iron. 

1 23456ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 

Present- 112 98 82 65 52 42 32 43 36 33 55 59 72 33 36 42 32 38 

Proposed 102 90 75 59 47 38 30 42 32 29 50 54 64 28 30 38 30 36 

Reduction 10 876542144558 5 6 4 2 2 

GIBSON— ZONE No. 4 
The carriers suggested reductions as follows: 





























Grain. 


Flour. Potatoes. 


1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. C.L. 


s 


5 


5 


5 


2 


1 


1 


1 


1 


1 


2 


2 


2 


3 


4 3 



which the Commission declined. 

The carriers' final suggestion was: 

Grain. Flour. Potatoes. Special Iron. 
123456ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
55552111222243 4 1 2 1 

which the Commission offered to report without recommendation, provided reductions on 
sixth class and Class B were made 2 cents instead of 1 cent. 

GASTONIA— ZONE No. 4 

The following reductions were suggested by the carriers in rates from Cincinnati 
and Louisville: 





























Grain. 


Flour. 


Potatoes. 


1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. 


C.L. 


5 


5 


5 


5 


3 


1 


1 


1 


3 


3 


2 


6 





5 


6 


3 



which the Commission declined. 

These reductions would have given Gastonia the same total rates from Cincinnati 
and Louisville as first proposed by the carriers to Gibson. 

The final proposition of the carriers contemplated the following reductions: 

Grain. Flour. Potatoes. Special Iron. 
123456ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
5555311144262 5 6 1 2 1 

these figures having the effect of giving Gastonia the same totals from Cincinnati and 
Louisville as under the final proposition of the carriers with respect to Gibson. 

"We understand the reductions proposed to Gastonia would be reported by the Com- 
mission without recommendation if the sixth class and Class B were reduced 2 cents 
respectively. 



80 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

HICKORY AND LINCOLNTON— GROUP No. 4 

The first suggestion made by the carriers was to reduce the rates to these points 
to the following extent: 





























Grain. 


Flour. Potatoes. 


1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. C.L. 


5 


5 


5 


5 


3 


1 


1 


3 


3 





4 


6 


2 


2 


6 3 



this giving Hickory and Lincolnton the same total rates as to Gibson and Gastonia. 
The carriers finally proposed the following reductions: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
95553112414642 6 1 2 1 

resulting in the following total rates from Cincinnati and Louisville: 

Grain. Flour. Potatoes. Special Iron. 
123456ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
107 93 77 60 50 41 31 42 34 31 53 57 68 30 32 41 30 37 

The Commission suggested the adoption of the following totals from Cincinnati and 
Louisville to Hickory and Lincolnton: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
103 89 75 60 50 38 30 40 32 30 50 54 68 27 28 

which would have involved the following reductions: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
9975342562794 5 10 

which the carriers advised they could not accept. 

MARION— GROUP No. B 

Statesville, N. C, is in Zone No. 2, and the observance of reduced rates to that 
point as maxima to points in the western part of the State would have caused such 
extraordinary reductions that the carriers were compelled to decline the observance 
of Statesville rates as maxima to territory west thereof, and in lieu of this basis sug- 
gested the observance of reduced rates to Marion as maxima as hereinafter explained. 

To illustrate the effect of the application of the reduced Statesville rates resulting 
from the carriers' final suggestion as maxima to points west of Statesville, the rates 
to Marion would have been reduced to the following extent: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
26 24 23 20 15 14 6 9 9 4 16 19 12 5 11 6 8 14 

Reductions first proposed by carriers to Marion, as follows: 

Grain. Flour. Potatoes. Special Iron. 
123456ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
9984341540572 1 7 6 .... 

The carriers finally proposed the following reductions: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
9984341550574 1 7 4 3 3 

The Commission proposed the following total rates from Cincinnati and Louisville 
to Marion: 



REDUCTION OF FREIGHT RATES 81 

Grain. Flour. Potatoes. Special Iron. 
1 2345 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
103 89 75 50 50 38 30 40 32 30 50 54 68 27 28 

the adoption of which would have caused the following reductions: 

Grain. Flour. Potatoes. Special Iron. 
C.L. C.L. L.C.L. 



1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. 


13 


13 


11 


7 


5 


7 


2 


7 


7 


1 


8 


10 


4 


4 


11 



which reductions the carriers deemed excessive and declined to accept. 

Since conference, Southern Railway is in receipt of a letter from Commissioner 
W. T. Lee, from which the following is quoted: 

"I would suggest that you start Marion at $1.05 and Waynesville and Hendersonville 
at $1.05. You will note this will make the same reduction in cents per hundred pounds 
as to the Greensboro Zone." 

Assuming that Commissioner Lee intended to suggest that reductions he made to 
Marion, Waynesville, and Hendersonville on each class the same as to points in the 
Greensboro Zone, said reductions would be as follows: 

Grain. Flour. Potatoes. Special Iron. 
1234 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
11 876542344558 5 6 4 2 2 

and would result in the following totals: 

Grain. Flour. Potatoes. Special Iron. 
12345 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
105 94 67 61 50 41 30 44 35 27 53 59 64 26 33 41 32 38 

as compared with totals finally proposed by the carriers as follows: 

Grain. Flour. Potatoes. Special Iron. 
123456 A BCDEHF C.L. C.L. C.L. C.L. L.C.L. 
107 93 78 63 52 41 31 42 34 31 53 57 68 30 32 41 33 36 

It should he borne in mind that the rates which the carriers propose to establish 
at Marion were intended to he the maxima to points on Southern Railway between 
Marion and Asheville, and that the Marion rates were also intended to apply to Shelby, 
Rutherfordton, Morganton, Hendersonville, and Waynesville and as maxima to destina- 
tions intermediate thereto, involving substantial reductions to all of said intermediate 
stations. 

The suggestion just received from Commissioner Lee, if correctly interpreted, 
would involve some advances as well as some reductions from the figures proposed by 
the carriers. The reductions proposed by Commissioner Lee on Class D and on grain, 
car-loads, would be most serious, and cause the adoption of a lower rate on Class D and on 
grain, in car-loads, to Marion than to Hope Mills, Gibson, Gastonia, Hickory, or 
Lincolnton. 

The Seaboard Air Line could not maintain lower rates to Shelby and Rutherfordton 
than to Lincolnton and intermediate points via its route. Therefore, if suggestions 
now made by Commissioner Lee are adopted as to Marion, the Seaboard will have to 
abandon its policy of maintaining rates to Shelby and Rutherfordton on the Marion 
basis, or reduce its Lincolnton rates below the Hickory basis, which it now maintains. 

In view of these facts, and in view of the most substantial concessions involved in 
the carriers' final figures, it appears to the carriers that they should not be expected 
to make further sacrifice at Marion and points west thereof. 



82 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

SHELBY AND RUTHERFORDTON— ZONE No. 5 

In both the initial and final suggestion of the carriers, Shelby and Rutherfordton 
were grouped with Marion, and reductions involved in the final suggestion of the 
carriers to these points were as follows: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
9984363555689 6 7 6 3 3 

The Commission suggested the following total rates from Cincinnati and Louisville 
to Shelby and Rutherfordton, namely: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
103 89 75 60 50 38 30 40 32 30 50 54 68 27 28 

which would have involved the following reductions, namely: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
13 13 11 7 5 9 4 7 7 6 9 11 9 9 11 

which the carriers could not accept. 

MORGANTON— ZONE No. 5 

The observance of the proposed Marion rates to Morganton would result in the 
following reductions from Cincinnati and Louisville: 

Grain. Flour. Potatoes. Special Iron. 
123456ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
99843635516862 7 6 3 6 

WAYNESVILLE AND HENDERSONVILLE— ZONE No. 6 

The observance of Marion rates as maxima under the final proposition of the car- 
riers would result in the following reductions to Hendersonville: 

Grain. Flour. Potatoes. Special Iron. 
F C.L. C.L. C.L. C.L. L.C.L. 
1 5 7 3 5 

and to Waynesville: 

Grain. Flour. Potatoes. Special Iron. 
123456ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
99 10 9781551365 2 7 8 3 8 

To these points the Commission proposed the following totals from Cincinnati and 
Louisville: 

Grain. Flour. Potatoes. Special Tron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
103 89 75 60 50 38 30 40 33 30 50 54 63 25 28 

the adoption of which would have caused the following reductions to Hendersonville: 

Grain. Flour. Potatoes. Special Iron. 
1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 
13 12 11 11 8 10 2 5 5 7 9 4 9 .. .... 

and an increase of 1 cent on Class D and of 2 cents on Class F over the present figures. 
The adoption of the Commission's proposal to Waynesville would cause the following 
reductions: 



5 


6 


A 


B 


C 


D 


E 


H 


6 


7 


1 


3 


3 





4 


6 



REDUCTION OF FREIGHT RATES 



83 



1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


13 


13 


13 


12 


9 


11 


2 


7 


7 





6 



Grain. Flour. Potatoes. Special Iron. 
F C.L. C.L. C.L. C.L. L.C.L. 
3 5 11 

The carriers did not feel that they could fairly be asked to make such heavy reduc- 
tions as those proposed by the Commission. 

Note comment above under Marion with respect to Commissioner Lee's proposal as to 
Waynesville and Hendersonville. 

ASHEVILLE— ZONE No. 6 



In addition to the reduction in car-load commodity rates from Cincinnati and Louis- 
ville to Asheville, hereinafter set out, the carriers first proposed to reduce the class 
rates to Asheville to the following extent: 



1 



Further concessions were subsequently suggested looking to reductions as follows: 























Grain. 


Flour. 


Potatoes. Special Iron. 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F C.L. 


C.L. 


C.L. C.L. L.C.L. 





2 


3 


5 





7 


4 


1 


3 


3 


5 3 


6 


7 



Grain. Flour. Potatoes. 
A B C D E H F C.L. C.L. C.L. 
0762555 3 8 5 



Since the conference a letter has been received from Commissioner W. T. Lee, 
suggesting the following rates from Cincinnati and Louisville to Asheville: 





























Grain. 


Flour. Potatoes. 


1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. C.L. 


93 


81 


73 


60 


50 


38 


26 


34 


28 


24 








56 


23 


25 



The adoption of this suggestion would cause the following reductions in the rates to 
Asheville and all points between Morristown and Asheville, and practically the same 
reductions to Morristown, the rates to which are now almost identical with the Ashe- 
ville rates: 



B 











Grain. 


Flour. 


Potatoes, 


D 


E 


H 


F 


C.L. 


C.L. 


C.L. 


3 


5 


5 


7 


4 


11 


„ 



Inasmuch as the Asheville rates are now on a very low basis, and in view of the 
substantial concessions already suggested by the carriers as to the class rates and as 
to important car-load commodities, set out below, it is the belief of the carriers that 
the Commission will not insist on any further sacrifice in the Asheville territory. 

Following is a statement of present rates to Asheville and those finally proposed 
by the carriers, on both classes and car-load commodities, which we trust will find 
acceptance: 

CLASSES 



Present 

Proposed 

Reductions 4 



1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


99 


88 


77 


65 


55 


46 


28 


43 


36 


27 


52 


58 


63 


95 


84 


75 


63 


52 


41 


28 


36 


30 


25 


47 


53 


58 







COMMODITIES 

Pre33nt. Proposed. 

Agricultural implements, rated 6th class in Southern Classifi- 
cation, mixed with farm wagons without springs, min. wt. 
20,000 lbs., C. L 46 36 

Agricultural implements, viz.: Harvesting machinery and 

binders' twine, mixed, min. wt. 24,000 lbs., C. L 55 45 



Reduction. 



10 



10 



52 


3 


28 


8 


45 


10 


49 


6 


24 


3 



84 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Present. Proposed. Reduction. 
Agricultural cultivating implements, straight or mixed, C. L., 

min. wt. 20,000 lbs., viz.: Corn planters, cotton choppers, 

cotton planters, cultivators, field rollers, grain drills, guano 

distributors, harrows, plows, potato diggers, potato planters, 

seed sowers (not hand), stalk cutters (field), transplanters 

and parts thereof, when shipped with implements named.. 46 36 10 

Beams, plow and plow handles, in the rough or in the white, 

straight or mixed, min. wt. 20,000 lbs., C. L 46 36 10 

Canned goods, viz.: Beef, pork, sausage, tripe, and meats and 
vegetables, combined, in tin cans, packed in boxes or barrels, 
C. L 55 46 9 

Crackers, bread, cakes, and cracker meal, packed, C. L., as per 
Note 39, Southeastern Tariff, No. 8 55 

Flour, C. L 36 

Jars, fruit and jelly glasses, straight or mixed, C. L 55 

Glass, rough or ribbed, C. L.; glass, window (not plate), C. L.. 55 

Grain, C. L 27 

Iron and steel articles, viz.: Sheet iron and sheet steel, not 

planished or polished, min. wt. 30,000 lbs., C. L 46 34 12 

Iron roofing (see Note 53, page 136, Southeastern Tariff, No. 8), 
black or galvanized, plain or corrugated, and steel or iron 
siding, stamped in imitation of brick or stone, straight or 
mixed, with sheet iron or sheet steel (not planished or pol- 
ished), min. wt. 40,000 lbs 46 

Special iron, minimum wt. 30,000 lbs., C. L 30 

Same, L. C. L 38 

Meats, fresh, min. wt. 24,000 lbs. (see Notes 55 and 56, page 

136, Southeastern Tariff, No. 8), C. L 60 50 10 

Packing-house products (see Notes 55 and 56, page 136, South- 
eastern Tariff, No. 8 ) , C. L 43 36 7 

Oatmeal, rolled oats, rolled, packed, crushed or flaked, rye 
flaked, rolled, pearl barley and hominy grits, not cooked, 
packed, or in barrels, kegs, drums or half-barrels, or in cot- 
ton or in gunny sacks, C. L 46 35 11 

Pickles, in wood or in glass, straight or mixed, C. L 46 41 5 

Pickles, vinegar, sauerkraut, mustard (prepared), horseradish, 
catsup, table sauce or olives, in glass or earthenware, packed 
or in wood, mixed with preserves, fruit butters, or jellies, in 
glass, earthenware or cans, packed or in wood, C. L 55 46 9 

Powder, soap, straight or when mixed with washing compounds, 
not liquid, and soap in boxes or barrels, agreed to be of 
value not exceeding 5 cents per pound and so expressed in 
bill of lading (see Rule 2, Southern Classification), C. L. .. 34 29 5 

Salt, C. L 23 18 5 

Soap, in boxes or barrels, agreed to be of value of not exceed- 
ing 5 cents per pound and so expressed in bill of lading, or 
when mixed with washing compounds, not liquid, or soap 
powders, C. L 34 29 5 

Soda, bicarbonate, in sacks, kegs, barrels, or casks, and in 

pails, crated, min. wt. 30,000 pounds, C. L 55 45 10 

Starch, packed or in sacks, C. L 37 35 2 

Stoves and ranges (except alcohol, gas, gasoline, oil, and vapor 
stoves and ranges), hollo wware, stove and range furniture, 
grate frames, baskets, fixtures, stove boards and stove pipe 



34 


12 


30 





34 


4 



REDUCTION OF FREIGHT RATES 85 

Present. Proposed. Reduction. 

(side seams not closed), 0. R., C. L. (C. L. shipments not 
crated or boxed must be so braced in car as to prevent shift- 
ing of the load and to insure safe transportation) 55 45 10 

Wooden and paper butter dishes and plates, min. wt. 24,000 

lbs., C. L 55 45 10 

It is understood that in the event a revision is made of the rates from Cincinnati 
and Louisville to points in North Carolina, like revision will be made from other Ohio 
River crossings, and St. Louis, Memphis, and Nashville, so as to preserve the existing 
relationship. 

It is the intent of the carriers, in the event of an agreement with the State and sub- 
sequent adoption of the rates herein suggested by them, under the approval of the Inter- 
state Commerce Commission, to so revise rates to points on branch lines, not herein- 
before referred to, as to substantially preserve present relationships. 

It is proposed by the carriers that as to points intermediate from the West, via the 
direct routes through Virginia cities, to observe the revised rates to points in Zone No. 1 
as maxima to intermediate destinations. 

The Commission proposed that to points in North Carolina north of the northern 
boundary of Zone No. 1 reductions be made in rates from the West the same in per- 
centage as to points in Zone No. 1. 

This proposal was not accepted by the carriers, because of their feeling that Fourth 
Section observance will result in substantial reductions to points intermediate to Zone 
No. 1, and that even observing Zone No. 1 figures as maxima involves some intermediate 
Virginia destinations. 

WILMINGTON, N. C. 

To Wilmington and other water competitive points on the coast of North Carolina 
the Commission suggested reductions — not to the same extent, but with some relation to 
reductions to inland points. 

The following tentative reductions to Wilmington were discussed, viz.: 



1 


2 


3 


4 


6 


6 


A 


B 


C 


D 


E 


H 


F 


4 


2 





3 


2 


1 


1 


2 


3 


1 


4 





2 



No agreement could be reached, because the carriers believe that no reductions to 
these water competitive points below the necessity of competition can possibly be justi- 
fied. 

Note. — The commodity rates herein proposed on "potatoes, C. L." will apply on the 
following description: 

"Vegetables, viz.: Apples, pears, beets, cabbage, onions, turnips, and potatoes, straight 
or mixed C. L. (potatoes, in straight C. L., min. wt., May 1st to October 31st, inclusive, 
24,000 pounds, and from November 1st to April 30, inclusive, 30,000 pounds.)" 

Note. — The carriers will undertake a revision of rates on bananas, in car-loads, from 
Mobile to North Carolina destinations, involving reductions to representative points as 
follows: Raleigh and Greensboro, 11 cents; Salisbury, 12 cents; Charlotte, 13 cents; and 
Asheville, 13 cents per hundred pounds. 

RATES FROM THE EASTERN SEABOARD TERRITORY TO POINTS IN 

NORTH CAROLINA 

(This heading is intended to embrace all the territory lying in and east of the 

Buffalo-Pittsburg Zone.) 

At a conference with the North Carolina Commission at Old Point Comfort, June 24, 
1913, representatives of the railways submitted a memorandum to the Commission, a 
paragraph of which reads as follows: 



86 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

"After conference with representatives of the B. and 0., Pennsylvania, and Reading 
Railway, we are prepared to say that those lines will concur with their southern con- 
nections in the revision of rates via all-rail from points on those lines to points in North 
Carolina, observing combinations of current locals on Norfolk, Richmond, Lynchburg, 
and Roanoke as maxima." 

Combinations of locals do not affect current class rates except via all-rail from New 
York, Philadelphia, and Baltimore. The lower water and rail rates attract practically 
all of the business from these ports to North Carolina destinations, and therefore the 
question of all-rail combinations as to class rates from the ports to North Carolina points 
is of small consequence. 

Nevertheless, it is the purpose of the carriers, in the event of agreement with the 
Commission, to observe these combinations as maxima. 

The observance of combination via all-rail from interior points will, the carriers be- 
lieve, be of substantial value, particularly as to some of the leading commodities moving 
in car-loads, as illustrative of which attention is directed to the following: 

The rate on molasses and glucose in car-loads from New York and Philadelphia, all- 
rail, to North Carolina destinations, will be reduced in amounts ranging from 1% cents 
in some cases, to as much as 5% cents in others. 

Hardware, N.O.S., as per Official Classification, from Boston and points taking Boston 
rates, will be reduced to the principal destinations in North Carolina 7 cents per hun- 
dred pounds. 

Glass bottles, fruit jars, and glassware, N.O.S., in car-loads, from some of the actual 
shipping points in the interior east, will be reduced in sums ranging from y 2 cent to 
11 cents per hundred pounds. 

Crackers, car-load from New York and Philadelphia to the principal destinations in 
North Carolina, 4 cents. 

Canned goods, from New York and Philadelphia, reductions ranging from 4 to 6 
cents. 

Roofing paper from York, Pa., 1% cents, and from Downington, Pa., 4 cents. 

Tin cans from Baltimore, 2 cents. 

Petroleum and its products from Marcus Hook, Pa., reductions ranging from iy 2 to 
4% cents. 

Soap from New York and Philadelphia, and bicarbonate of soda from Syracuse, N. Y., 
reductions ranging from 3 to 5 cents. 

Strawboard from Pencoyd, Pa., 2 cents. 

These are merely illustrative, and do not embrace the entire range of changes that 
will result from the adoption of this basis. 

It is not to be understood that every rate to every destination from these or other 
shipping points is affected, even on the commodities named, by the combination of locals. 

Lack of time and of opportunity to discuss these matters with eastern connections 
does not permit us at the moment to go into more detail, but it is understood that in the 
event of agreement with the Commission, the carriers will proceed with all reasonable 
dispatch to bring to a conclusion with the eastern connections this question of interior 
eastern rate adjustment. 

During the closing hours of the present conference, the Commission suggested to the 
carriers the application south of Virginia cities of proportional rates for the construc- 
tion of totals from points in the Eastern Seaboard territory to North Carolina destina- 
tions, the same as those to be used in the construction of revised rates from Ohio River 
crossings. 

The basis of rates the carriers believe to be altogether impracticable, for reasons set 
out in the memorandum submitted by the carriers at conference in Raleigh, April 26, 
1913. The suggestion of the Commission was, therefore, respectfully declined. 

It was thereupon suggested by the Commission that the carriers use this basis in the 
construction of rates from points in the Buffalo-Pittsburg Zone, but the carriers were 
not then prepared to deal with that question, first, because they did not have with them 



REDUCTION OF FREIGHT RATES 87 

tariffs which would enable them to determine the effect of the application of the basis, 
and, second, because they could not determine that question without consulting their 
eastern connections, opportunity for which has not yet been had. 

The carriers, however, agreed to take that suggestion under consideration, and to 
advise what, if anything, could be done with it. 

There has not yet been time for a thorough analysis of the question or for any dis- 
cussion with initial carriers, but we now express the belief that the application of pro- 
portional rates on business from points in the Buffalo-Pittsburg Zone, the same as those 
used on business from the Ohio River crossings, is impracticable. 

The present rates are lower than combination of locals to the following extent: 





1 


2 


3 


4 


5 


6 


A 


B 


C 


D 


E 


H 


F 


Buffalo 


11 


9 


7 


4 


4 


3 


3 


3 


3 


3 


4 


4 


6 


Pittsburg 


8 


8 


5 


1 


1 


1 


1 


1 


1 


1 


1 


1 


2 



The question of these rates depends so much upon the position of the initial carriers 
that the representatives of the North Carolina lines are unable at the moment to advise 
what, if anything, can be done looking to the modification of the existing total class 
rates from the Buffalo-Pittsburg Zone. It is understood, of course, that in so far as 
rates may be affected by combination of locals, the revision will be made. 

The revision of rates herein presented by the carriers is proposed in the spirit 
enunciated in memorandum presented by representatives of the carriers to representa- 
tives of the State in conference at Raleigh, February 26, 1913, and subject to the condi- 
tions set out in said memorandum, and with the further understanding, as agreed upon 
with the North Carolina Commission, that an agreement between the Commission and 
the carriers, approved by the Governor, settles all pending differences between the 
State of North Carolina and the railways with respect to rates on interstate traffic 
involved in the various conferences between representatives of the railways and rep- 
resentatives of the State. 

This memorandum is prepared in pursuance of understanding reached just before 
adjournment of the conference, that it would be furnished the Commission and sub- 
mitted by it to the Governor, and that the undersigned would be notified as to any con- 
clusion reached by the Governor and the members of the Commission. 

It was also understood that in the event the rates now suggested by the carriers are 

not accepted by the State, there is to be another conference between the Governor, the 

Commission, and the executives of the railways. 

(Signed) L. Green, 

Chairman, Committee of Railway Representatives. 



MEMORANDUM OF CONFERENCE AT THE OFFICE OF THE 

NORTH CAROLINA CORPORATION COMMISSION, 

RALEIGH, N. O, AUGUST 2, 1913, 

BETWEEN 

Chairman Tbavis, Commissioners Lee, Pell, and Secretary Maxwell, or the 
North Carolina Corporation Commission, 

AND 

C. R. Capps, V. P., Seaboard Air Line Railway. 

R. A. Brand, V. P. ) 

_ y Atlantic Coast Line Railway. 

J. W. Perrin, G. P. A. 

L. Green, F. T. M., Southern Railway Company. 

This conference supplemented that held at Old Point Comfort, Va., July 22-25th, inclu- 
sive, and was upon telegraphic request of the Chairman of the Commission. 



88 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

The carriers, after further consideration of requests of the Corporation Commission, 
modified the final figures submitted by them at the Old Point Comfort conference to the 
following extent to Zone No. 1: 

Classes 2 5 Potatoes, C.L. 
1 1 2 

making the full line of reductions finally proposed by the carriers at the Old Point Com- 
fort conference, and as now amended, as follows: 

Grain. Flour. Potatoes. 
12345 6ABCDEHF C.L. C.L. C.L. 
11 886642344558 5 6 6 

To Zone No. 2, the carriers proposed the following additional concessions: 

Classes 1 3 5 B Potatoes, C.L. 
1112 2 

making the measure of reductions to Zone No. 2, as finally submitted by the carriers 
at the Old Point Comfort conference, and as modified at the meeting of even date, as 
follows: 





























Grain. 


Flour. 


Potatoes. 


1 


2 


3 


i 


5 


6 


A 


B 


C 


D 


E 


H 


F 


C.L. 


C.L. 


C.L. 


11 


8 


8 


6 


6 


i 


2 


2 


4 


4 


5 


5 


9 


5 


6 


6 



The same reductions to be made to points in the Hope Mills Zone as in Zone No. 2. 

The difference of 2 cents per hundred pounds between Potatoes, C.L. and L.C.L., to 
be carried throughout the State. 

To Marion, Hickory, Lincolnton, Shelby, Rutherfordton, Hendersonville, and Waynes- 
ville, the carriers agreed to an additional concession of 2 cents per hundred pounds on 
first class, thus making the reduction on first-class 11 cents per hundred pounds, the 
same as to points in Zone No. 1. 

To Asheville, N. C, the carriers agreed to a concession, in addition to those proposed 
at the Old Point Comfort conference, of: 

Classes 1 4 A Potatoes, C.L. 
112 2 

thus making reductions to Asheville as follows: 

Grain. Flour. Potatoes. 
123456ABCDEHF C.L. C.L. C.L. 
6423352762555 3 8 7 

The following statement is made by the carriers as an addition to the memorandum 
of the proceedings of the Old Point Comfort conference: 

To points to which present rates have been depressed by water competition, reduc- 
tions will not be made except to make the rates thereto not higher than to the next 
intermediate point. L _ Qree ^ 

Chairman, Committee of Raihoay Representatives. 



•REDUCTION OF FREIGHT RATES 89 

To His Excellency, Locke Craig, September 19, 1913. 

Governor of North Carolina: 

Pursuant to conclusion reached after advising with your Excellency, the Cor- 
poration Commission resumed negotiations with the railways for further reduc- 
tions in interstate freight rates in Washington on September 10th. The negotia- 
tions extended through three days, the Commission during that time treating with 
both the traffic managers and the presidents of the roads. 

As the result of these negotiations the railroads have submitted an amended 
proposition, which we herewith submit for your consideration. 

The amended proposition makes no change in the reductions heretofore offered 
on western traffic to zones one, two, and three, except to increase the reduction 
one cent per hundred pounds on class A, in order to make that proportionate to 
the other classes. 

The main defect in the former proposition, in our view, was that it did not 
offer relatively equal reductions to all parts of the State. 

It did not offer any reductions to water points, and the reductions to points 
between zone one and the Virginia border, to points west of Statesville, and to 
Gastonia were too small as compared to the reductions in zones one and two. 

The amended proposition offers increased reductions to all of these points 
except water points. 

POINTS ON NORTHERN" BOEDER 

In respect to the points near the Virginia border north and east of zone one, 
the reductions now offered to them are proportionate to those offered to zones one 
and two. 

Following this basis the proportional rates from Virginia cities on western 
traffic were made as follows: 

to weldon _ . _ 

Grain. Flour. Potatoes. 

123456ABCDF C.L. C.L. C.L. 

Present 65 46 39 29 26 19 16 20 16 14 30 14 16 16 

Proposed 45 39 32 24 21 16 14 17 14 12 28 11 12 14 

Reductions 10 7755323222 3 4 2 

These same rates to apply to Eoanoke Eapids, and be maxima to all points 
on Atlantic Coast Line and Seaboard Air Line, north of Weldon ; to apply to 
Lewiston and be maxima to all points on the Lewiston branch of the Seaboard 
Air Line ; to apply via Norfolk to Tarboro, and be maxima to all stations east of 
Tarboro on the Atlantic Coast Line; to points on Norfolk Southern Eailroad 
taking fifty-five-cent rate first class, or less, except such as already have forty-five- 
cent rate, or less ; to Eeidsville, via Lynchburg, and the maxima to all points north 
on the Southern Eailway. The rates to all points on the Norfolk and Western 
Eailway between Winston-Salem and Eoanoke and Durham and Lynchburg are 
fixed practically on the same basis, resulting in rates to Madison and Eoxboro 
slightly lower than the Weldon rates except on first class. 

GASTONIA 

The reductions now offered to Gastonia, are as follows: 

Grain. Flour. Potatoes. 
123456ABCDF C.L. C.L. C.L. 

98553123444 5 6 3 

These are not as great as to zone two, but nearly so. 



90 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 



WEST OF STATESV1LLE 

The reductions to this territory in the former proposal were less than to zones 
one and two. 

We have contended that the rates to this territory from the west being unjustly 
higher than to other parts of the State, ought to be reduced more, so as to bring 
about a more nearly equitable relation. 

They now propose to reduce the rates, from Cincinnati, Ohio, and Louisville, 
Ky., and related points, as follows: 

TO HICKORY 

Grain. Flour. Potatoes. 

123456ABCDF C.L. C.L. C.L. 

Present 112 98 82 65 53 42 32 45 38 32 72 32 37 42 

Proposed 101 90 77 60 50 41 30 42 32 30 64 29 31 39 

11 8553123628 3 6 3 

These rates to be maxima to all stations west of Hickory. This results in 
reductions to Morganton, Marion, Rutherfordton, Shelby, Waynesville, Henderson- 
ville and intermediate points (except Asheville) approximately as follows, which 
are greater than to other parts of the State : 

Grain. Flour. Potatoes. 
123456ABCDF C.L. C.L. C.L. 

15 12 975635719 2 8 5 

BUFFALO-PITTSBURG ZONE 

In the former proposal no reductions had been definitely agreed upon from 
this territory. We regarded this an important omission because of the fact that 
the principal producing points of many of the most important and commonly 
used iron and steel products are in this zone, and the fact that the prices of 
many of them in all parts of the country are fixed at Pittsburg prices plus the 
freight. 

The carriers now offer commodity rates from this territory on practically all 
the important iron and steel articles produced in it, both in carload and less than 
carload, which are the same as would result from the application of the propor- 
tionals offered on western rates and are substantial and beneficial reductions. 

These commodity rates cover nails, horseshoes, bar iron, structural iron, bolts 
and nuts, plow bases and plow parts, cotton ties, wire fencing, sheet iron roofing, 
roofing tin, and a great many other extensively used iron and steel articles. 

In addition to this, the carriers are negotiating with their northern connec- 
tions for a readjustment of the all rail rates from this territory, as set out in 
their offer, which, if successful, will result in very gratifying reductions in the 
all rail class rates. They showed us their working sheets in this matter, and we 
were agreeably surprised to see the amount of work they had already done toward 
this adjustment. 

RATES FROM EASTERN TERRITORY 

The carriers propose to make such revision of all rail rates from this territory 
that they will in no case exceed the combination of locals on the Virginia cities, 
which will result in reductions as illustrated in their offer. In many cases these 
rates now exceed the combination of locals. 



REDUCTION OF FREIGHT RATES 91 

In addition to this, the readjustment which they are undertaking to get in 
the Buffalo-Pittsburg zone, if secured, "will extend into and substantially lower 
the all rail rates from eastern territory, including even the eastern port cities. 
While the success of this adjustment is not certain, it depending on the concurrence 
of northern roads, we were shown that such progress had been made on it as to 
make it very probable. 

There was no agreement as to water and rail rates from this territory, and 
that matter is therefore left open. 

OUTBOUND KATES 

The former proposal adjusted no outbound rates. The present one offers out- 
bound class rates on western traffic, observing as a maxima to Cincinnati and 
Louisville, the following: 123456 

100 85 72 57 48 39 

governed by southern classification. 

Heretofore we have had no through class rates to the west, and all such ship- 
ments were made on full locals under one classification to Virginia cities, and a 
different one beyond. This resulted not only in very high rates, but much annoy- 
ance to shippers. The proposed rates will remove this annoyance and make large 
reductions in the rates. 

WATEE POINTS 

We have been unable to secure any reductions to Wilmington, ISTew Bern, 
Washington, Plymouth, Edenton, and Elizabeth City, on account of the fact that 
these points, having water competition, already have rates much lower than other 
parts of the State, and generally lower than the reduced rates will be to any 
other points in the State. 

We regret our inability to get reductions to these points, but we do not feel 
that it would be just that the whole State be deprived of the substantial reduc- 
tions offered because these points can not also get reductions, and we believe that 
the citizens of these cities will be too unselfish and patriotic to make such a 
demand, but on the contrary, will be glad to see the rest of the State enjoy in part 
the blessings they have already been enjoying for a long time. 

CONCLUSION 

These negotiations were originally begun by the carriers under an agreement 
with the Legislative Commission having as its main purpose the adjustment of 
rates from the west, and to make substantial reductions in them. The negotia- 
tions have since taken a wider range so as to cover as many disputed matters as 
could be agreed upon and warrant the withdrawal of the suits filed by us against 
the carriers before the Interstate Commerce Commission in December, 1912. 

The present proposition offers such substantial reductions in rates from the 
west as, in our opinion, amounts to a compliance in good faith with the original 
agreement, and makes such adjustment of the matters involved in the suits as we 
believe warrant their withdrawal. 

The reductions offered apply to a very large territory, embracing the Buffalo- 
Pittsburg zone, and all territory west thereof and north of the Ohio river, and all 
territory west of the Mississippi river to the Pacific Coast. 



92 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

The reductions offered will save the shippers of the State, according to esti- 
mates made by the carriers based on their earnings for 1912, about $2,000,000 per 
year, and are the largest and most comprehensive concessions in freight rates ever 
made by the railroads to any State at one time. 

It is one of the greatest achievements in railroad rate regulation ever gained 
by any State by any means, and has been done in a remarkably short time and at 
insignificant expense as compared to the magnitude of the matter. 

It does not settle all questions in dispute, but those not agreed upon are left 
open so that anything omitted can be later adjusted, and the agreement as to those 
settled remains in force for two years. 

This will afford a reasonable time for the trial of this adjustment to see what 
its effect will be upon the roads, and what the benefits will be to the State. At 
the end of that time such changes may be made as experience may show to be 
wise, and alterations in transportation conditions may require. 

The Corporation Commission has from time to time advised with the Inter- 
state Commerce Commission in respect to the matters involved, and at the con- 
clusion of the negotiations went over the entire proposition of the earners with 
Hon. Edgar E. Clark, Chairman of the Interstate Commerce Commission, and 
asked his advice as to whether or not the State should accept it. He unhesitatingly 
advised its acceptance, and expressed the opinion that it would be of great advan- 
tage to the State. 

After much study of the whole subject, and a mature consideration of all the 
circumstances and conditions, the Corporation Commission unanimously recom- 
mends the acceptance of the proposition, with the firm conviction that it will 
save to the people a large amount of money and give renewed impetus to our 
industrial and commercial development. 

Respectfully submitted, 

E. L. Travis, Chairman. 



A. J. Maxwell, Clerk. 



W. T. Lee, Commissioner. 
Geokge P. Pell, Commissioner. 



(5) 

MESSAGE TO THE GENERAL ASSEMBLY, EXTRA SESSION, TRANS- 
MITTING REPORT OF CORPORATION COMMISSION OF NEGOTIA- 
TIONS FOR ADJUSTMENT OF INTERSTATE FREIGHT RATES 

September, 1913. 
To the Honorable, The General Assembly of North Carolina: 

I transmit to you herewith the report of the Corporation Commission of 
negotiations for adjustment of Interstate Freight Rates, made on August 5, 1913, 
with an amendment made on September 19, 1913. 

If the proposals for reduction of transportation charges contained in this 
report be accepted, the reduced rates are to go into effect without delay, and the 
acceptance by the State of the proposals therein contained will be a settlement 
of all pending differences between the State of North Carolina and the railways 



REDUCTION OF FREIGHT RATES 93 

in respect to rates on interstate traffic therein adjusted, for a period of at least 
two years from the time of such acceptance. 

I refer this report, with the proposals, to the representatives of the people, 
that they may determine what shall be done. 

The carriers make definite proposals, in substance as follows: 

1. From northern and eastern territory all rail rates on through freight shall 
in no case exceed combinations of local rates. This is not a concession, but an 
agreement to comply with the law, which ought never to have been violated ; but 
we would obtain this benefit without resort to the courts. 

2. From the Buffalo-Pittsburg territory, substantial reductions on all impor- 
tant iron and steel commodities. 

3. From western territory, reductions to the zones of the State specifically 
set out in the report. This western territory embraces all points east of the 
Buffalo-Pittsburg zone, north of the Ohio Biver, and west of the Mississippi Biver. 

4. From all furniture points in the State to the far west, rates on furniture 
equal to the rates now in force from the Virginia cities, and to the territory east 
of the Bocky Mountains, a reduction of $12 per car-load on mixed furniture. 

5. Commodity rates on inbound freight to the city of Asheville and related 
territory set out on pages 25 and 26 of the report of the Corporation Commission 
and on pages 10 and 11 of the amendment. 

In addition to the above unconditional proposals, the carriers agree to further 
reduce rates from northern and eastern territory, and from the Buffalo-Pittsburg 
zone, on condition that they secure the consent of their northern and eastern 
connections. 

I have devoted to this question most earnest thought. I have had the assistance 
and cooperation of experts in freight rates, and have taken counsel with the 
Legislative Freight Bate Commission and with officers and members of the Just 
Freight Bate Association, with the Corporation Commission, and with the Council 
of State. It is my duty under the Constitution to express to you my views and 
conclusions. In the discharge of this duty, I recommend that the proposals as 
above set out be accepted. 

In the original proposition there were conditions that made acceptance impos- 
sible. These have been eliminated, and the proposition has been amended to the 
decided advantage of the State. As it now stands, I believe that it makes a reduc- 
tion reasonable under the present rate system. I know that it makes a substan- 
tial reduction. In my opinion, it is a fair compliance in good faith with the 
understanding between representatives of the State and representatives of the 
carriers in conference at Baleigh on February 26, 1913. 

The acceptance of these proposals would save to our people a vast amount of 
money, and enable the cities and towns of North Carolina to compete on equal 
terms with the cities of other States. 

The saving in freight rates would be a substantial gain, but the greater con- 
sideration is the opportunity for business that lower rates would offer. Our 
prosperity would increase, and our industries be encouraged to the extent of the 
reduction on the cost of transportation. 

The proposed reductions are, in my opinion, as much or more than we could 
secure under the present system and construction of the law through the Inter- 
state Commerce Commission, even by long and expensive litigation. Under this 
proposition, we would secure the benefits of the reduction with little expense, and 
as soon as the rates could be put into effect. 



94 LETTERS AND PAPERS OP GOVERNOR LOCKE CRAIG 

Shall we accept these proposals and save to the State a vast sum of money, 
and vouchsafe to her industries increasing prosperity, without compromising the 
dignity of the State and without yielding our right to proceed for any further 
reductions in rates not provided for in the adjustment; or shall we reject them, 
and make war upon the carriers to compel greater reductions? By the acceptance, 
there are no limitations, expressed or implied, upon the State. Within her juris- 
diction the State will exercise her sovereign power according to the dictates of 
her own conscience in the making and the administration of law. No one can 
barter away this right, if he would. 

I want peace, but I prefer war to an ignominous peace. I really want peace, 
and peace on the terms proposed is an honorable peace. 

I fully realize that we are not getting all to which we are entitled ; but it is 
much. It is a move in the direction of complete justice. 

If the issue with the railroads were within the jurisdiction of the State, 
justice would be decreed by statute, and enforced. But the power of the State 
cannot directly control this matter. We contend under disadvantages — against 
a long established system recognized by Federal statute and authority. 

The existing rate structure has been developed by the arbitrary will of the 
carriers ; it has resulted in all manner of extortion and injustice ; it must be 
revised. There is no competition between railroads ; the people can expect no 
protection from competition ; the law must fix and regulate rates. The rate for 
any point should be determined by the relative cost of the haul. This axiomatic 
principle can be established only in the Federal jurisdiction ; not until it be 
established can we have complete relief from the injustice under which we have 
long suffered. 

The present method of fixing rates by the arbitrary power of the railroads has 
existed from the beginning of railroad transportation. The people have sub- 
mitted because they did not know. Like the protective tariff, it has grown insidi- 
ously until, oppressed by accumulating injustice, the people have awakened for 
action. We cannot hope to uproot and destroy the whole evil at one stroke. We 
must persevere on the line laid down by President Wilson in his discussion of the 
tariff. We have begun, and will not stop. We have put our hands to the plow, 
and will not look back. Respectfully, Locke Ceaig 

Governor. 

(6) 
PROPOSITION OF COMMON CARRIERS 

Washington, D. C, September 12, 1913. 

Rate Adjustment : Rates to and from Points in North Carolina. 

Honorable E. L. Travis, Chairman, 

North Carolina Corporation Commission, 
Raleigh, N. C. 
Dear Sir : — Confirming understandings reached during conference of three 
days ending today, and summing up the concessions discussed in the various con- 
ferences between the Corporation Commission and the carriers, we advise as 
follows : 



•REDUCTION OF FREIGHT RATES 95 

Subject to the understanding between representatives of the State and repre- 
sentatives of the carriers in conference at Raleigh, N. C, on February 26, 1913, 
and to the further condition that the acceptance by the State of the proposals 
herein contained shall be a settlement of all pending differences between the State 
of North Carolina and the railways in respect to rates on interstate traffic herein 
adjusted, for a period of at least two years from the time of such acceptance, we 
propose the following revision of rates on interstate traffic to points in North 
Carolina, viz. : 

BATES FEOM THE WEST 

This heading is intended to embrace points on and north of the Ohio River, 
west of the Buffalo-Pittsburg zone and points west of the Mississippi River from 
which rates are made by the combination on Ohio and Mississippi River crossings. 

1. To establish proportional rates from one or more of the Virginia cities to 
points in North Carolina hereinafter described, for use in making joint or through 
rates from the west, lower than the now existing locals from the Virginia cities, 
as follows : 

(Note. — The "existing locals" referred to do not include the locals Roanoke 
to Winston-Salem or Lynchburg to Durham via Norfolk and Western Railway.) 

A. To points hereinafter referred to as Zone 1 on the line of Southern Rail- 
way North Wilkesboro via Winston-Salem, and Greensboro to Goldsboro and 
thence via Norfolk Southern Railway to, but not including, New Bern N. C. ; 
to Apex, N. C. ; to Atlantic Coast Line stations Smithfield to Goldsboro ; and to 
points north of above described line, except as hereinafter described, proportional 
rates lower than present locals from Virginia cities as follows : 

Grain. Flour. Potatoes. Special Iron. 

I 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 

II 886643344558. 5 6 6 3 4 

To Weldon, N. O, proportional rates will be established from Virginia cities, 
on business from the west, lower than the existing locals, to the following extent: 

123456ABCDEHF 
10 775532322512 

Proportional rates to Weldon made as above to be observed as maxima to 
points on Atlantic Coast Line and Seaboard Air Line north of Weldon, and to 
points on Seaboard Air Line, Lewiston branch; also to points to which present 
rates from Virginia cities are on fifty-five (55) cent scale. 

The scale of proportional rates from Virginia cities to Weldon to be applied 
from Lynchburg, via Southern Railway, to Reidsville, N. O, and as maxima to 
stations on Southern Railway in North Carolina north of Reidsville. 

To Benaja and Brown Summit, on Southern Railway between Reidsville and 
Greensboro, reductions in cents per hundred pounds the same as to Reidsville. 

To points on Norfolk and Western Railway between Lynchburg and Durham, 
and between Roanoke and Winston-Salem, the following reductions: 



Grain. 


Flour. 


Potatoes. 


Special Iron. 


C.L. 


C.L. 


C.L. 


C.L. L.C.L. 


3 


4 


5 


2 3 



96 



LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 





















Pota- 








A 


B 


C 


D 


E 


H 


F 


Grain. 


Flour. 


toes. 


Special 


Iron. 


Hay 
















C.L. 


C.L. 


C.L. 


C.L. L.C.L. 


C.L. 





3 


3 


3 


3 


3 


6 


2 


3 


4 





2 


4 


1 


3 


2 


2 


3 


3 


4 


3 


m 


4 




2 


4 


1 


2 


2 


2 


2 


3 


4 


2H 


4 


4 




2 


4 


1 


2 


VA 2 


2 


3 


3 


Vi 


4 


4 




2 


4 


1 


2 


VA 


2 


2 


3 


3 


2 


4 


4 




2 


4 


1 


2 


\ l/ 2 


2 




1 


3 


2 


3H 


3 






5 


1 










1 


2 


V/t 


3 


3 






4 


1 










1 


2 




2H 


3 






4 


1 













2 




2 


3 






5 


1 













2 




1H 


3 






5 


1 













2 




l 


3 






5 


1 




















Vi 


i' 


2 







5 


1 


























2 







5 





3 


2 


2 


3 


3 


4 


3 


4 


4 




2 


3 


1 


2 


2 


2 


2 


3 


4 


3 


m 


4 




2 


4 


1 


2 


114 


2 


2 


3 


3 


VA 


m 


4 




2 


4 


1 


2 


\y, 


2 




1 


3 


2 


4 


3 




1 


5 


1 


2 


Hi 


2 




1 


3 


2 


3'/ 2 


3 




1 


5 


1 




l 






1 


2 




3 


3 




1 


4 


1 




l 






1 


2 




2H 


3 




1 


4 


1 




l 









2 




2 


3 




1 


5 


1 




l 









2 




1H 


3 




1 


5 


1 




l 









2 




l 


3 




1 


5 


1 




















H 


a 


2 







4 


1 


























2 







5 



Winston-Salem Division : 

12 3 4 5 6 

Price 4 6 3 3 3 2 

Stoneville 8 8 4 3 3 2 

Avalon 6 6 3 3 2 2 

Mayodan 6 6 3 3 2 2 

Madison 6 6 3 3 2 2 

Sharps 4 4 2 111 

Pine Hall 4 4 2 111 

Chisman 4 4 2 111 

Walnut Cove 2 2 10 11 

Fulp _ 2 2 10 11 

Dennis 2 2 10 11 

Walkcrtown 2 

Winston-Salem... 2 

Woodsdale 4 6 3 3 3 2 

Roxboro 6 6 3 3 2 2 

Pick 6 6 3 3 2 2 

Helena 4 4 2 111 

Mt. Tirzah 4 4 2 111 

Lyndover 4 4 2 111 

Rougemont 4 4 2 111 

Bahama 2 2 10 11 

Willardville 2 2 10 11 

Fairntosh 2 2 10 11 

Weaver 2 

Durham 2 

B. To points in Zone No. 2, namely: Statesville and Charlotte, N. C, and 
points on the Southern Railway between Statesville and Charlotte and east of 
Statesville and Charlotte and south of Zone No. 1; to points on the Winston- 
Salem Southbound Railroad ; points on the Seaboard Air Line Railway south of 
Apex to Charlotte, inclusive, via Hamlet and Monroe, including its branch line 
Moncure to Pittsboro; all points on the Randolph and Cumberland Railway; all 
points on the Atlantic Coast Line south of Goldsboro to Wrightsboro, Warsaw to 
Clinton, Four Oaks to Fayetteville, not including Fayetteville, between Fayette- 
ville and Sanford ; points on Raleigh, Charlotte and Southern ; proportional rates 
to be established from Virginia cities on business from the west to points in this 
zone lower than the present local rates to the extent hereinbefore set out under 
Zone No. 1. 

C. To points in Zone No. 3, namely: on Seaboard Air Line between Wilming- 
ton and Hamlet ; on Atlantic Coast Line between Wilmington and Fayetteville. 
Hope Mills to Pembroke, inclusive ; Parkton to Maxton, inclusive ; all points on the 
Virginia and Carolina Southern and on the Aberdeen and Rockfish railroads ; pro- 
portional rates from Virginia cities to be lower than present locals to the same 
extent as in Zones Nos. 1 and 2. 

D. To Zone No. 4, namely: points on Atlantic Coast Line west of Wilmington 
to Fair Bluff, inclusive ; points south of Pembroke and south of Maxton ; points 
Elrod to Mount Tabor, inclusive; points on Raleigh and Charleston; propor- 
tional rates from Virginia cities on business from the west to be lower than the 
present locals to the following extent : 

123456ABCDEHF 
5555211122224 

E. To points in North Carolina west of Charlotte and Statesville rates from 
the west cannot be controlled by the application of proportional rates south of 



Grain. 


Flour. 


Potatoes. 


Special Iron. 


C.L. 


C.L. 


C.L. 


C.L. L.C.L. 


3 


4 


3 


1 1 



REDUCTION OF FREIGHT RATES 97 

Virginia cities. Therefore, the following specific reductions are to be made in 
rates from Cincinnati and Louisville, from Ohio River crossings west of Louis- 
ville, from St. Louis and from Mississippi Eiver crossings south thereof, and from 
points basing thereon or made with relation thereto, namely: 

Gastonia and points on Southern Railway between Gastonia and Charlotte: 

Grain. Flour. Potatoes. Special Iron. 

1 2 3 4 5 6ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 

9855312344268 5 6 3 2 1 

Hickory and Lincolnton : 

Grain. Flour. Potatoes. Special Iron. 

123456 A BCDEHF C.L. C.L. C.L. C.L. L.C.L. 

11 855312362568 3 6 3 2 1 

Eevised Hickory rates to be maxima to points west of Hickory. 
To Asheville, N". C, following specific reductions from Ohio River crossings- 
etc. : 

Grain. Flour, Potatoes. Special Iron. 

123456ABCDEHF C.L. C.L. C.L. C.L. L.C.L. 

5425562772555 3 8 8 4 6 

And in addition to the above reductions in class rates to Asheville, commodity 
rates are to be established on the following articles in car-load lots, causing reduc- 
tions from Ohio River crossings, etc., as shown below : 

Commodities. Reduction. 

Agricultural implements, rated 6th class in Southern Classification, mixed 

with farm wagons without springs, min. wt. 20,000 lhs., CL 10 

Agricultural implements, viz., harvesting machinery and binder's twine, 

mixed, min. wt. 24,000 lbs., CL 10 

Agricultural cultivating implements, straight or mixed, CL., min. wt. 20,000 
lbs., viz., corn planters, cotton choppers, cotton planters, cultivators, field 
rollers, grain drills, guano distributors, harrows, plows, potato diggers, 
potato planters, seed sowers (not hand), stalk cutters (field) trans- 
planters and parts thereof when shipped with implements named 10 

Beams, plow, and plow handles, in the rough or in the white, straight or 

mixed, min. wt. 20,000 lbs., CL 10 

Canned goods, viz., beef, pork, sausage, tripe, and meats and vegetables, com- 
bined, in tin cans, packed in boxes or barrels, CL 9 

Crackers, bread, cakes and cracker meal, packed, CL., as per Note 39, South- 
eastern Tariff No. 8 5 

Flour, CL 8 

Jars, fruit and jelly glasses, straight or mixed, CL 10 

Glass, rough or ribbed, CL; glass window (not plate), CL 6 

Grain, CL 3 

Iron and steel articles, viz., sheet iron and sheet steel, not planished or pol- 
ished, min. wt. 30,000 lbs., CL 12 

Iron roofing (see note 53, page 136, Southeastern Tariff No. 8), black or 
galvanized, plain or corrugated, and steel or iron siding, stamped in imi- 
tation of brick or stone, straight or mixed, with sheet iron or sheet steel 

(not planished or polished), min. wt. 40,000 lbs 12 

Special iron, min. wt. 30,000 lbs., CL 

Same, LCL 

Meats, fresh, min. wt. 24,000 lbs. (see Notes 55 and 56, page 136, Southeastern 

Tariff No. 8), CL 10 

7 



98 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Commodities. Reduction 

Packing house products (see Notes 55 and 56, Southeastern Tariff No. 8), CL. . 7 

Oatmeal, rolled oats, rolled, cracked, crushed or flaked rye, flaked, rolled, pearl 
barley and hominy grits, not cooked, packed or in barrels, kegs, drums, or 

half barrels, or in cotton or in gunny sacks, CL 11 

Pickles, in wood or in glass, straight or mixed, CL 6 

Pickles, vinegar, sauerkraut, mustard (prepared), horse radish, catsup, table 
sauce or olives, in glass or earthenware, packed or in wood, mixed with 
preserves, fruit butters or jellies, in glass, earthenware or cans, packed 

or in wood, CL 9 

Powder, soap, straight or when mixed with washing compounds, not liquid, 
and soap in boxes or barrels, agreed to be of value not exceeding 5 cents 
per lb., and so expressed in bill of lading. (See Rule 2, Southern Classi- 
fication), CL 5 

Salt, CL 5 

Soap, in boxes or barrels, agreed to be of value of not exceeding 5 cents per 
pound and so expressed in bill of lading, or when mixed with washing 

compounds, not liquid, or soap powders, CL 5 

Soda, hi-carbonate, in sacks, kegs, barrels, or casks, and in pails, crated, min. 

wt. 30,000 pounds, CL 10 

Starch, packed or in sacks, CL 2 

Stoves and ranges (except alcohol, gas, gasoline, oil and vapor stoves and 
ranges), hollo wware, stove and range furniture, grate frames, baskets, fix- 
tures, stove boards and stove pipe (side seams not closed) (CL shipments 
not crated or boxed must be so braced in car as to prevent shifting of the 

load and to insure safe transportation) 10 

Wooden and paper butter dishes and plates, min. wt. 24,000 lbs., CL 10 

Class rates to points on the Southern Railway west of Waynesville, east of 
Hendersonville, and to points on its Toxaway branch to he reduced in line with 
reductions to Waynesville and Hendersonville respectively. To points on these 
branches, and to points west of Marion, car-load commodity rates to be established 
in line with those provided for to Asheville wherever necessary to bring about 
proper relationship between the car-load commodity rates to Asheville and rates 
on like commodities to said other points. 

KATES FROM EASTERN SEABOARD TERRITORY 

This heading is intended to embrace all territory lying in and east of the 
Buffalo-Pittsburg zone. 

The carriers are in negotiation for readjustment of rates from this territory, 
via all rail, recognizing combinations of locals as maxima, advocating a continu- 
ance of existing relations between the rates from the ports and those from the 
interior, and the application of current Rochester rates as maxima from points 
in the Buffalo- Pittsburg zone. 

The success of these negotiations is dependent upon the concurrence of orig- 
inating and connnecting lines. 

It is generally known that the Northern and Eastern roads are engaged in a 
general revision of tariffs. The effect of combinations may not, therefore, be 
accurately forecasted. 

What follows as to the changes which may be made in the rates from this terri- 
tory is contingent upon the acceptance by connections of these companies. 



REDUCTION OF FREIGHT RATES 99 

If the basis of rates advocated by these companies can be brought about, rates 
from Buffalo and Pittsburg will be reduced approximately as follows: 

12 3 4 5 6 

Buffalo 12 11 10 3 3 3 

Pittsburg _ 10 9 8 2 2 2 

Rates all-rail from eastern ports proper and from interior points related 
thereto, in the event the negotiations referred to are successful, would be reduced 
approximately as follows : 123456 

New York 3 5 5 3 4 4 

Philadelphia. 5 7 7 5 5 5 

Baltimore 3 4 4 3 2 2 

contingent on the continuance of the eastern lines existing locals. 

It should be clearly understood that an advance of five (5%) per cent in the 
existing locals of the eastern lines is in contemplation and will probably be made. 

There is also uncertainty whether the present relationship of all interior eastern 
points will be continued. It is not believed, however, that any substantial change 
will be made in that relationship. 

As explained to you, it is not within the power of these lines to make any more 
definite statement than the above with respect to this adjustment from the Eastern 
Seaboard Territory. If the proposals herein contained are accepted by the State, 
we will at once proceed with and diligently pursue negotiations with eastern con- 
nections. 

With respect to rates on iron and steel articles from Pittsburg, we will, as 
agreed with you, undertake to establish a car-load rate of thirty-two and one-half 
(32%) cents on bolts, nuts, structural iron, nails, spikes, bar iron, cotton ties and 
other articles of iron and steel manufacture, the rates on which north and south 
of Virginia gateways, are the same as on the articles above mentioned ; and a rate 
of thirty-five and one-half (SS 1 /?) cents on woven-wire fencing, sheet-iron roofing, 
and tin plate in car-loads, and on other articles of iron and steel manufacture the 
rates on which, north and south of Virginia gateways, are the same as on the 
articles above mentioned. 

These rates represent reductions of three cents on the first item and of four 
cents on the second item. 

Commodity rates on these articles to other points in North Carolina will be 
established, using the same basis as that used in making rates to points in Zone 
Wo. 1. 

Commodity rates on these articles in less than car-loads will be established 
from Pittsburg representing reductions of two and one-half (2%) cents per hun- 
dred pounds to all points in Zone No. 1. 

These rates will be affected by any changes which may be made in the charges 
north of Virginia gateways. 

Predicated on the continuance of existing locals and the continuance of the 
existing grouping, and on the adoption of the Rochester basis advocated by us as 
maxima from Buffalo and Pittsburg, the reductions in car-load ratings to be 
accomplished by the observance of combinations of locals as maxima, are fairly 
illustrative by the following : 

Hardware, NOS, as per official classification, from New England points taking 
Boston rates, to the principal destinations in North Carolina, 7 cents per hundred 
pounds. 



100 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

From actual shipping points in New York and Philadelphia territory reduc- 
tions on molasses and glucocse, in car-loads, on amounts ranging from one and 
one-half (1%) to five (5) cents per hundred pounds. 

Glassware rated fourth class in official classification, from actual shipping 
points in the Pittsburg district to the principal destinations in North Carolina, 
11 cents. 

Glass bottles, car-load, from Glassboro, 1ST. J., to the principal destinations in 
North Carolina, one (1) cent per hundred pounds. 

These reductions will be greater in the event the basis we are seeking to estab- 
lish is made effective. 

From New York and Philadelphia, crackers, car-load, four cents; canned 
goods, car-load, four to six cents; soap, from three to five cents, to the principal 
destinations. 

Roofing paper from York, Pa., one and one-half (1%) cents; from Downing- 
ton, Pa., four cents; tin cans from Baltimore, two cents; petroleum and its prod- 
ucts from Marcus Hook, Pa., reductions ranging from one and one-half (I-V2) to 
four and one-half (4%) cents; and on strawboard from Pencoyd, Pa., two cents. 

The measure of these reductions may be affected as hereinbefore indicated with 
respect to the general adjustment from the interior east by conclusions of our 
eastern connections with respect to the locals north of the gateways and likewise 
with respect to the grouping of interior points. 

We showed you during the conference this week some of our working sheets, 
on which tentative figures have been made, indicating the effect of the basis that 
we have proposed to our eastern connections upon class rates and a large number 
of commodity rates from the eastern ports proper and from the interior, in the 
event the present relationship between the ports and the interior is maintained. 
It is practically impossible to include in this letter a comprehensive statement of 
these figures. 

Furthermore, as explained to you, these proposed changes have not been sub- 
mitted to our eastern connections, and it is not in our power to now state to you 
definitely that they will be established. 

MISCELLANEOUS 

It is our purpose to establish a line of class rates from North Carolina terri- 
tory to Ohio Eiver crossings and St. Louis, observing the following figures as 
maxima from points in North Carolina to Cincinnati and Louisville: 

1 2 3 4 5 6 

100 85 72 57 48 39 

governed by southern classification. 

With respect to commodities manufactured at Atlanta, Chattanooga, and Knox- 
ville, and also manufactured in Nashville, Tenn., it is the purpose of the 
carriers to observe the Nashville rates as maxima. 

To Evansville, Cairo and St. Louis we will apply the same differentials 
westbound as used in making the present eastbound rates. 

We will undertake to establish by addition to the associated railways excep- 
tion sheet rates on glue, car-load, 30,000 pounds minimum, on sixth class basis. 

On inbound traffic from the Pacific coast we will authorize the application 
south of Virginia cities of the proportional rates established on business from the 
west, as hereinbefore described. 



■REDUCTION OF FREIGHT RATES 101 

The car-load rates herein provided on potatoes will apply on the following 
description : "Vegetables, viz. : Apples, Pears, Beets, Cabbage, Onions, Turnips, 
and Potatoes, straight or mixed CL (potatoes in straight CL, min. wt., May 1st 
to October 31st, inclusive, 24,000 lbs., and from November 1st to April 30th, 
inclusive, 30,000 lbs.)." 

The car-load rates on grain herein provided will include all classes of grain 
and the products thereof that are embraced in class D of Southern Classification. 

We have undertaken a revision of rates on bananas from Mobile to North 
Carolina destinations in car-loads, involving reductions to representative points 
as follows: Raleigh and Greensboro, 11 cents; Salisbury, 12 cents; Charlotte, 13 
cents ; Asheville, 13 cents per hundred pounds. 

To points to which the present rates have been depressed by water competition 
reductions will not be made except to make the rates thereto not higher than to 
the next intermediate point. 

Norfolk ajsb "Western Railway, 

By J. R. Runrsr, 
Freight Traffic Manager. 

Southern- Railway Company, 

By L. Geeen, 
Freight Traffic Manager. 

Atlantic Coast Line R. R. Co., 

By James Menzies, 
Freight Traffic Manager. 

Seaboard Air Line Railway, 

By L. E. Chalenor, 
Freight Traffic Manager. 



CO 

LETTER TO FRED N. TATE, CHAIRMAN JUST FREIGHT RATE 

ASSOCIATION, TRANSMITTING PROPOSITION 

OF COMMON CARRIERS 

State of North Carolina 
Governor's Office 
Raleigh 
Mr. Fred N. Tate, Chairman, September 19, 1913. 

Just Freight Rate Association, 

High Point, N. C. 
Dear Sir: — I hand you herewith a proposition by the common carriers oper- 
ating in North Carolina. You will please consider the reduction proposed in 
rates for the transportation of merchandise brought into this State. 

I hope that, as soon as possible, you will give me your opinion as to the advis- 
ability of accepting this proposition as an adjustment of these rates for two years. 

Yours truly, LoCKE ^ 

Governor. 



102 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(8) 

LETTER TO FREIGHT RATE COMMISSION, TRANSMITTING 
PROPOSITION OF COMMON CARRIERS 

State of ]SToeth Carolina 

Governor's Office 

Raleigh 

September 19, 1913. 

Messrs. E. J. Justice, W. B. Councill, and N". B. Broughton, 
Freight Rate Commission. 
Gentlemen : — I hand you herewith a proposition hy the common carriers oper- 
ating in North Carolina. You will please consider the reduction proposed in 
rates for the transportation of merchandise brought into this State. 

I hope that, as soon as possible, you will give me your opinion as to the advis- 
ability of accepting this proposition as an adjustment of these rates for two years. 

Yours truly, LocKE Ceaig? 

Governor. 



(9) 

"RATE ADJUSTMENT"— LETTER FROM FREIGHT TRAFFIC 

MANAGER, SOUTHERN RAILWAY, TO CHAIRMAN 

CORPORATION COMMISSION 

{Copy) 
Southern Railway Company 

Washington, D. C, September 20, 1913. 

Rate Adjustment : Rates to and from points in North Carolina. 

Honorable E. L. Travis, Chairman, 

North Carolina Corporation Commission, 
Raleigh, N. C. 

Dear Sir: — During our conference in Washington September 10th-12th, in- 
clusive, you gave me some memoranda, prepared by the secretary of the Southern 
Furniture Manufacturers' Association, relating to the rates on furniture from 
North Carolina factories to the West and to points in Louisiana, which memoranda 
I herewith return. 

During the conference referred to we agreed to take up this question of furni- 
ture rates on its merits and advise you what, if any, concessions' the carriers could 
make. 

I beg to now advise that after consideration of the matter, we submit the fol- 
lowing conclusion : 



•REDUCTION OF FREIGHT RATES 103 

1. That as to rates on mixed furniture, car-load, classified second class in the 
Official Classification, from North Carolina factories to Chicago, St. Paul, Minne- 
apolis, and Duluth, we will make a reduction of ten (10) cents per hundred pounds; 
and that as to tables, car-loads, classified fourth class in Official Classification, to 
the same destinations, we will make a reduction of seven (7) cents per hundred 
pounds. 

Of course, where rates to points other than Chicago are now made by combina- 
tion on Chicago, reductions will correspond to the Chicago rate. 

To Spokane (Washington), Tucson (Arizona), and points taking same rates, 
we will, with the concurrence of connections, establish same rates as from Virginia 
Cities on all classes of furniture from North Carolina factories. 

To the Louisiana points referred to in the attached memoranda, to which the 
present furniture rates from Worth Carolina points are two (2) cents higher than 
from the Virginia Cities, we will, with the concurrence of our connections, have 
the rates placed on the Virginia Cities basis. To other points in Louisiana to 
which the Virginia Cities rates are now made by water-line routes through the 
Gulf, it is not believed that the North Carolina rates can be placed on the Virginia 
Cities basis, because the business would be unprofitable. 

If, however, any modification can be worked out whereby the North Carolina 
rates to these Louisiana points may be reduced, we will undertake to do it. 

The question of these rates to Louisiana points is now on the docket for dis- 
cussion by the carriers at a meeting to be held in Asheville beginning October 16th, 
and was listed at the request of Secretary Ryan of the Southern Furniture Manu- 
facturers' Association. 

Vou understand that there is no movement of furniture from the Virginia 

Cities - Yours tvvl J> (Signed) L. Green, 

Freight Traffic Manager. 



(10) 

PROCLAMATION BY THE GOVERNOR, APPOINTING SPECIAL FREIGHT 
RATE COMMISSION. NOVEMBER 18, 1913 

State of North Carolina 

Executive Department 

Raxeigh 

A Proclamation by the Governor 

The General Assembly of North Carolina at its Special Session, 1913, having 
enacted a statute entitled "An act to fix and provide machinery for fixing rates to 
be charged by railroads for transporting freight within the State of North Caro- 
lina," being chapter 20, Public Laws Extra Session, 1913, and having provided in 
the said statute for the classification and transportation of freight by railroad 
companies, and having fixed the rates which such railroad companies, as common 
carriers, are entitled to charge for the transportation of freight in the State of 
North Carolina from and after sixty days from the ratification of the said statute, 



104 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

and having further provided in the said statute that "should any one or more of 
the common carriers affected by the rates prescribed in this act make representa- 
tion to the Governor of the State that the rates herein provided are or would be 
confiscatory or unreasonable, and the Governor should be of the opinion that such 
complaint is in good faith and that there is good and sufficient reason for investi- 
gating the facts, then the Governor shall be and he is hereby empowered to appoint 
a special commission of not more than three persons to immediately investigate 
the facts and make report of their findings to him" : 

And under the provisions of the said statute, the Southern Railway Company 
Atlantic Coast Line Railroad Company, Seaboard Air Line Railway Company, 
Norfolk and Western Railway Company, Norfolk Southern Railroad Company. 
Virginia and Carolina Railroad Company, Atlantic and Western Railroad Com- 
pany, Carolina and Northwestern Railway Company, Carolina and Yadkin River 
Railroad Company, Winston-Salem Southbound Railway Company, Bonlee and 
Western Railway Company, Laurinburg and Southern Railroad Company, Rock- 
ingham Railroad Company, and Washington and Vandemere Railroad Company, 
common carriers, operating and doing business in the State of North Carolina and 
affected by the rates prescribed in the act, having made in writing representation 
to the Governor of the State that the rates in the said statute provided are or will 
be confiscatory and unreasonable : 

And the Governor being of the opinion that such complaints are in good faith 
and that there is good and sufficient reason for investigating the facts : 

Now, therefore, I, Locke Craig, Governor of the State of North Carolina, in 
the exercise of the power conferred upon me by the said statute, do appoint a 
special commission of three persons to immediately investigate the facts and make 
report of their findings to me in accordance with the provisions of the statute 
herein referred to. 

And in the exercise of such power I do appoint as members of said commission : 

Michael Hoke Justice, of the County of Rutherford, 
William Louis Poteat, of the County of Wake, 
Alfred Augustus Thompson, of the County of Wake. 

And I do constitute the aforesaid persons the commission provided for. 
The special commission hereby created will proceed in the exercise of the powers 
and in the discharge of the duties prescribed by the statute above mentioned. 

Done at our city of Raleigh, this the eighteenth day of November, in 
[great the year of our Lord one thousand nine hundred and thirteen, and in the 
seal] one hundred and thirty-eighth year of our American independence. 

Locke Craig, 
By the Governor: Governor. 

Jno. P. Kerr, 

Private Secretary. 



REDUCTION OF FREIGHT RATES 105 

(11) 

PROCLAMATION BY THE GOVERNOR, POSTPONING OPERATION OF 

ACT OF SPECIAL SESSION 1913 IN REGARD TO FREIGHT RATES, 

PENDING INVESTIGATION OF SPECIAL FREIGHT RATE 

COMMISSION. JANUARY 23, 1913 

State of North Carolina 

Executive Department 

Raxeigh 

A Proclamation by the Governor 

The General Assembly of North Carolina at the Special Session, 1913, having 
enacted a statute entitled "An act to fix and provide machinery for fixing rates to 
be charged by railroads for transporting freight within the State of North Caro- 
lina," and having provided in section 4a for the creation of a Special Commission 
to investigate the facts and make report of their findings to the Governor, and 
which said Special Commission has been duly created, according to law; 

And further provided that "Pending investigation and report, the Governor is 
hereby authorized to suspend the operation of this act for a period of not exceed- 
ing sixty days upon the recommendation of the Special Commission herein pro- 
vided for ; 

"And upon similar recommendation, made in order to allow time for proper 
investigation, make additional suspension for such time as the said Special Com- 
mission may recommend as reasonable and necessary for the completion of the 
investigation" ; 

And the operation of the act having been suspended for a period of sixty days 
as provided therein, and the said commission having filed with the Governor the 
following : 

January 23, 1914. 
His Excellency Locke Craig, Governor: 

The Special Commission ordered to investigate railroad rates has heard 
testimony for the past ten days, and in that time the railroads have put in 
their testimony in chief. It became necessary to adjourn the Commission 
in order to allow the Attorney-General to prepare his testimony and put it in. 
We have therefore adjourned until Tuesday, February the 24th, at 12 
o'clock. 

We respectfully request your Excellency to postpone the operation of the 
rates fixed in House Bill 452 until March 20, 1914. 

Very respectfully, 
(Signed) M. H. Justice, 

Chairman. 

Now, therefore, I, Locke Craig, Governor of the State of North Carolina, in 
the exercise of the power vested in me by the Legislature, do hereby suspend the 
operation of the said act until March 20, 1914. 



106 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Done at our city of Raleigh, this the twenty-third day of January, in 
[great the year of our Lord one thousand nine hundred and fourteen, and in the 
seal] one hundred and thirty-eighth year of our American independence. 

Locke Ceaig, 
By the Governor: Governor. 

Jno. P. Kerr, 

Private Secretary. 



(12) 

PROCLAMATION BY THE GOVERNOR, POSTPONING OPERATION OF 

ACT OF SPECIAL SESSION 1913 IN REGARD TO FREIGHT RATES, 

PENDING INVESTIGATION OF SPECIAL FREIGHT RATE 

COMMISSION. MARCH 20, 1914 

To Hon. Locke Craig, Greensboro, N. C. 

Governor of North Carolina, 
Raleigh, N. C. 
Dear Governor : — The Commission by you appointed have continued the hear- 
ing to April 7, 1914, and request that the act fixing intrastate freight rates be 
further suspended for sixty days from the expiration of the time of the last sus- 
pension thereof, in order to complete the hearing. -^ tt t ustice 

Chairman. 



State of North Carolina 

Executive Department 

Raleigh 

A Proclamation hy the Governor 

The General Assembly of North Carolina at the Special Session, 1913, having 
enacted a statute entitled "An act to fix and provide machinery for fixing rates to 
be charged by railroads for transporting freight within the State of North Caro- 
lina," and having provided in section 4a for the creation of a Special Commission 
to investigate the facts and make report of their findings to the Governor, and 
which said Special Commission has been duly created according to law; 

And further provided that "pending investigation and report the Governor is 
hereby authorized to suspend the operation of this act for a period of not exceeding 
sixty days upon the recommendation of the Special Commission herein provided 
for; 

"And upon similar recommendation, made in order to allow time for proper 
investigation, make additional suspension for such time as the said Special Com- 
mission may recommend as reasonable and necessary for the completion of the 
investigation" ; 



REDUCTION OF FREIGHT RATES 107 

And the operation of the act having been suspended for a period of sixty days 
as provided therein, and pending further recommendation of the said Special Com- 
mission having been suspended according to the provisions of that act until March 
20, 1914; 

And the Special Commission, in accordance with the provisions of the said act 
of the General Assembly having made a recommendation that the said act be sus- 
pended until the 19th day of May, 1914, for the completion of the investigation: 
Now, therefore, I, Locke Craig, Governor of the State of North Carolina, in the 
exercise of the power vested in me by the Legislature, do hereby suspend the oper- 
ation of the said act until May 19, 1914, being a further suspension of sixty days 
in accordance with the recommendation of the Special Commission, as will appear 
by the record. 

Done at our city of Raleigh, this the twentieth day of March, in the 
[great year of our Lord one thousand nine hundred and fourteen, and in the one 
seal] hundred and thirty-eighth year of our American independence. 

Locke Craig, 
By the Governor: Governor. 

Jno. P. Kerb, 

Private Secretary. 



(13) 

PROCLAMATION BY THE GOVERNOR, POSTPONING OPERATION OF 

ACT OF SPECIAL SESSION 1913 IN REGARD TO FREIGHT RATES, 

PENDING INVESTIGATION OF SPECIAL FREIGHT RATE 

COMMISSION. MAY 19, 1914 

His Excellency, Locke Craig, Ashevtlle, N. C, May 1, 1914. 

Governor of North Carolina, 
Raleigh, N. C. 
Dear Sir: — The Special Commission to fix freight rates continued the hearing 
to July 7, 1914. We request that you continue the suspension of the operation of 
the act of the Legislature to July 20, 1914. M H T 

Chairman. 



State of Worth Carolina 

Executive Department 

Raleigh 

A Proclamation by the Governor 

The General Assembly of North Carolina at the Special Session, 1913, having 
enacted a statute entitled "An act to fix and provide machinery for fixing rates to 
be charged by railroads for transporting freight within the State of North Caro- 



108 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Una," and having provided in section 4a for the creation of a Special Commission 
to investigate the facts and make report of their findings to the Governor, and 
which said Special Commission has been duly created according to law; 

And further provided that "Pending investigation and report, the Governor is 
hereby authorized to suspend the operation of this act for a period of not exceed- 
ing sixty days upon the recommendation of the Special Commission herein pro- 
vided for ; 

"And upon similar recommendation, made in order to allow time for proper 
investigation, make additional suspension for such time as the said Special Com- 
mission may recommend as reasonable and necessary for the completion of the 
investigation" ; 

And the operation of the act having been suspended as provided by law until 
the 19th day of May, 1914 ; 

And the Special Commission, in accordance with the provisions of the said act 
of the General Assembly, having made a recommendation that the said act be sus- 
pended until the 18th day of July, 1914, for the completion of the investigation: 

Now, therefore, I, Locke Craig, Governor of the State of North Carolina, in 
the exercise of the power vested in me by the Legislature, do hereby suspend the 
operation of the said act until July 18, 1914, being a further suspension of sixty 
days, in accordance with the recommendation of the Special Commission, as will 
appear by the record. 

Done at our city of Raleigh, this the nineteenth day of May, in the 
[gbeat year of our Lord one thousand nine hundred and fourteen, and in the one 
seal] hundred and thirty-eighth year of our American independence. 

Locke Craig, 
By the Governor: Governor. 

Jmo. P. Kerb, 

Private Secretary. 



(14) 

PROCLAMATION BY THE GOVERNOR, POSTPONING OPERATION OF 

ACT OF SPECIAL SESSION OF 1913 IN REGARD TO FREIGHT 

RATES, PENDING INVESTIGATION OF SPECIAL 

RATE COMMISSION 

Asheville, N. C, July 15, 1914. 
To His Excellency, Locke Craig, Governor, 

Asheville, N. C. 
Dear Sir: — As chairman of the Special Freight Rate Commission, and by 
authority of said Commission, I hereby request you to further suspend the opera- 
tion of an act, chapter 20, Public Laws of the Extra Session, 1913, until and in- 
cluding August 10, 1914, at which time the Commission expect to be able to furnish 
you their report. Very truly yours, 

M. H. Justice, 

Chairman. 



REDUCTION OF FREIGHT RATES 109 



State of North Carolina 

Executive Department 

Raleigh 

A Proclamation by the Governor 

The General Assembly of North Carolina at the Special Session, 1913, having 
enacted a statute entitled "An act to fix and provide machinery for fixing rates to 
he charged by railroads for transporting freight within the State of North Caro- 
lina," and having provided in section 4a for the creation of a Special Commission 
to investigate the facts and make report of their findings to the Governor, and 
which said Special Commission has been duly created according to law ; 

And further provided that "Pending investigation and report," the Governor is 
hereby authorized to suspend the operation of this act for a period of not exceed- 
ing sixty days upon the recommendation of the Special Commission herein pro- 
vided for; 

"And upon similar recommendation, made in order to allow time for proper 
investigation, make additional suspension for such time as the said Special Com- 
mission may recommend as reasonable and necessary for the completion of the 
investigation" ; 

And the operation of the act having been suspended as provided by law until 
the 18th day of July, 1914; 

And the Special Commission, in accordance with the provisions of the said act 
of the General Assembly, having made a recommendation that the said act be sus- 
pended until the 10th day of August, 1914, for the completion of the investigation: 

Now, therefore, I, Locke Craig, Governor of the State of North Carolina, in 
the exercise of the power vested in me by the Legislature, do hereby suspend the 
operation of the said act until August 10, 1914, being a further suspension of 
twenty-three days, in accordance with the recommendation of the Special Commis- 
sion, as will appear by the record. 

Done at our city of Ealeigh, this the fifteenth day of July, in the 
[great year of our Lord one thousand nine hundred and fourteen, and in the one 
seal] hundred and thirty-ninth year of our American independence. 

Locke Craig, 
By the Governor: Governor. 

Jno. P. Kerb, 

Private Secretary. 



110 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(15) 

PROCLAMATION BY THE GOVERNOR, POSTPONING OPERATION OF 

ACT OF SPECIAL SESSION OF 1913 IN REGARD TO FREIGHT 

RATES, PENDING INVESTIGATION OF SPECIAL 

RATE COMMISSION 

Murphy, 1ST. C, August 10, 1914. 
How. Locke Craig, Governor. 

Dear Sir: — Please extend time to August 20, 1914, for putting freight rates 
into operation under the act of Special Session 1913. 

Yours truly, M. H. Justice, 

Chairman. 



State of Worth Carolina 

Executive Department 

Raleigh 

A Proclamation by the Governor 

The General Assembly of North Carolina at the Special Session, 1913, having 
enacted a statute entitled "An act to fix and provide machinery for fixing rates to 
be charged by railroads for transporting freight within the State of North Caro- 
lina," and having provided in section 4a for the creation of a Special Commission 
to investigate the facts and make report of their findings to the Governor, and 
which said Special Commission has been duly created according to law; 

And further provided that "Pending investigation and report, the Governor is 
hereby authorized to suspend the operation of this act for a period of not exceed- 
ing sixty days upon the recommendation of the Special Commission herein pro- 
vided for; 

"And upon similar recommendation made in order to allow time for proper 
investigation, make additional suspension for such time as the said Special Com- 
mission may recommend as reasonable and necessary for the completion of the 
investigation" ; 

And the operation of the act having been suspended as provided by law until 
the 10th day of August, 1914; 

And the Special Commission, in accordance with the provisions of the said act 
of the General Assembly, having made a recommendation that the said act be sus- 
pended until the 20th day of August, 1914, for the completion of the investigation: 

Now, therefore, I, Locke Craig, Governor of the State of North Carolina, in 
the exercise of the power vested in me by the Legislature, do hereby suspend the 
operation of the said act until August 20, 1914, being a further suspension of ten 
days, in accordance with the recommendation of the Special Commission, as will 
appear by the record. 

Done at our city of Raleigh, this the tenth day of August, in the 
[great year of our Lord one thousand nine hundred and fourteen, and in the one 
seal] hundred and thirty-ninth year of our American independence. 

Locke Craig, 
By the Governor: Governor. 

Jno. P. Kerr, 

Private Secretary. 



REDUCTION OF FREIGHT RATES 111 

(16) 

REPORT OF SPECIAL FREIGHT RATE COMMISSION TRANSMITTED 
TO CORPORATION COMMISSION 

State of Worth Carolina 

Governor's Office 

Raxeiqh 

Worth Carolina Corporation Commission, 

Raleigh, N. C. 
Gentlemen: — I hereby deliver to you and file with you the report of the 
Special Freight Rate Commission, which report was made in accordance with 
chapter 20 of the Public Laws of the Extra Session of 1913. I attach hereto the 
said report, together with the schedule of rates, and my proclamation promul- 
gating the same. Yours truly, LocKE Qraig, 

Governor. 



(17) 

REPORT OF SPECIAL RATE COMMISSION. AUGUST 13, 1914 

To His Excellency, Governor Locke Craig, 

Raleigh, North Carolina. 

Sir: — The Co mm ission appointed by your Excellency under the terms of the 
act of the General Assembly of 1913, entitled "An act to fix and provide machin- 
ery for fixing rates to be charged by railroads transporting freight within the 
State of Worth Carolina," and ratified October 13, 1913, has the honor to present 
the following report : 

The first hearing of the Commission was held in Raleigh, January 12th, and 
extended to January 22d. The second hearing, likewise held in Raleigh, covered 
the period from April 7th to April 14th. The third and last hearing was held in 
Asheville from July 7th to July 16th. The executive sessions of the Commission 
were begun on July 20th. At the first hearing the Commission announced that its 
policy would be to welcome light from any quarter. Accordingly, testimony in 
great detail by the principal public carriers, by boards of trade, by various indus- 
trial associations, and by individuals, has been presented and freely admitted to 
the record. 

In performing the duties assigned to it the Commission has followed the gen- 
eral principles of the act which authorized its appointment. The principle of a 
percentage relationship of the classes recognized in the act is indorsed by the Com- 
mission, and, as far as is now practical, it has been employed in the schedule of 
rates here announced. 

The Commission has not undertaken to fix local or joint-haul rates on railroads 
less than seventy-five miles in length, because section 6 of the act indicates that 
the General Assembly intended to refer these rates to a permanent commission. 
Accordingly, the rates here reported apply to all railroad companies which own, 
operate, control, or maintain seventy-five or more miles of railroad within Worth 



112 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Carolina. The shorter lines are so numerous and their freight rates so divergent 
that this Commission respectfully refers the fixing of the rates on these roads to 
the North Carolina Corporation Commission, to which under the act they may at 
any time appeal; and it is recommended that the Corporation Commission fix for 
these shorter roads as near as may be uniform rates on a fair relation with those 
here fixed for the longer roads ; that the local and joint-haul rates now in force on 
these short roads be maintained until the Corporation Commission shall have 
opportunity to fix and readjust them; and that the Corporation Commission deal 
with this matter at the earliest possible date. 

This Commission adopts the Southern Classification, and the rates here fixed 
and reported are subject to that classification, except where lower ratings are or 
may be published by the North Carolina Corporation Co m mission, in which case 
the lower ratings shall prevail. 

The rates in the attached schedule are declared to be reasonable maximum 
rates; any rates which are now lower are continued in effect, except that, in such 
isolated cases as may occur, where an advance of not more than one cent in a 
particular class will bring the existing lower rate up to the rate here prescribed, 
such advance is allowed in the interest of uniformity. 

Existing rates on commodities not mentioned in the attached schedule are con- 
tinued in effect. 

When rates are not shown for the exact distance, the charge shall be the rate 
prescribed for the nearest distance. In cases where the haul is equidistant from 
specified rate distances, the charge shall be that for the next higher distance. 

In case one railroad company has two or more routes between given points, 
rates shall be based on the shortest route. On joint hauls the lines handling the 
traffic shall base their rates upon the shortest practicable route having physical 
connection. 

For joint hauls over two or more independently controlled railroads under the 
management of companies operating seventy-five or more miles of railroad within 
this State, add the following to the straight mileage rates for the total combined 
distance: . ,,.„ , 

Per 100 Pounds 

Class— 123456ABCD Other Classes and Commodities. 

5433222222 lc. 

In the absence of an agreed basis of division between roads participating in a 
joint haul, locals shall be used as factors in dividing, after first deducting cost of 
transfer, if any, at interchange point. 

The minimum charge on small shipments shall be for actual weight at the 
tariff rate, but not less than 25 cents for a haul over one road, or 30 cents for a 
joint haul over two roads, or 40 cents for joint haul over three or more roads. 
Class E articles are here rated fifth class. 
Class H articles are here rated fourth class. 

Flour in barrels, heretofore rated Class F, is here rated double Class C per 
barrel; flour in half barrels, same as Class C. 

Class M articles are here rated two-thirds of Class A. 

All which, together with the attached schedule of rates, is submitted to your 
Excellency with the greatest deference and respect. 

(Signed) M. H. Justice, Chairman, 
Alf. A. Thompson, 
W. L. Poteat, 

Commissioners. 



■REDUCTION OF FREIGHT RATES 113 

GENERAL, RULES 

1. These rates are subject to Southern Classification, except where lower ratings are 
or may be published by the North Carolina Corporation Commission. 

2. When rates are not shown for the exact distance, the charge shall not exceed the 
rate for the nearest distance. In cases where the haul is equidistant the charge shall be 
that for the next higher distance. 

3. Where one railroad company has two or more routes between given points, the 
rates shall be based on the shortest route. On joint hauls, the lines handling the traffic 
must base their rates upon the shortest practicable route having physical connection. 

4. For joint hauls over two or more independently controlled railroads under the 
management of companies operating seventy-five or more miles of railroads within this 
State, add the following to the straight mileage rates for the combined total distance.: 

Per 100 Pounds 

Class 123456 A BCD Other Classes and Commodities. 

5433222222 lc. 

In the absence of an agreed basis of division between roads participating in a joint 
haul, locals shall be used as factors in dividing, after first deducting cost of transfer, if 
any, at interchange point. 

5. The minimum charge on small shipments shall be for actual weight at the tariff 
rate, but not less than 25 cents for a haul over one road, or 30 cents for a joint haul over 
two roads, or 40 cents for joint haul over three or more roads. 

Existing rates on commodities not mentioned in this schedule are continued in effect. 

Class E articles are here rated fifth class; Class H articles are here rated fourth 
class. 

Flour in barrels, now rated Class F, is here rated double Class C per barrel; flour in 
half barrels, same as Class C. 

Class M articles are here rated two-thirds of Class A. 



114: LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 



S5 

1-3. 

o 

Pi 

< 
O 

a 

u 

o 

I 

a 

s 

Cx< 

O 
cc 

S3 

- 

2 
m 
< 
H 






o 

P 

w 
W 
o 

x 







H 


T3 oj 

o 

1 Eh 

c3 ci 


oiomiomoioomoiooiooiooiooiooio 

ONMoOHHNfimwTi'ij'inmofflNNcoai 


O^OOOOiOOiO 

asoo"-cicicoco 


o »o o »o o 

* ■* us in to 


















d 

o 

£ c 
o ■" 
O 




o ,2 

2 § 

£ o 

qPh 


soHm^iotoso: 


OOHClClMM-f^mWO 


NCOO)0-NMt)i 
CJNNWnMMW 


IO CO CO t— I— 








J3 - 


c 

h 
O 


o -S 
O O 


i o ' o • O i o 
l O i O i O ' o 

i iO 'CO • t- '00 


O ' O ' O 'O iO too 
O iO iO 'O iO iOO 

OS iO 1 1-1 i N ICO ' -*J< »0 


oooooooo 
oooooooo 
cor— Qoasoi— i -i w 

rtHHHNdNN 


o o o o o 
o o o o o 

n m m th ■* 

CI N CI CI N 


1-S 

o ^ 

& .2 


pq 
a 


§1 

S o 
c,Cm 


H)n Ha Hw He 


ososoo-*^hcicicoco''*<io 


COt— 00S0CSCSOO 


O —1 -1 ~H CJ 
CM CI CI CI CI 






So 


— 

5 


— w 


(NWrtMMt'*'}!^ 


T)<^<iOiOiOiOiOiOiOCOCOcO 


cocooi>-t~t— t— r— 


N CO CO W CO 




o 

< 
O 

K 
H 


Cm 


ooooooooo 
oioioioioioiooo 


OOOOOOOOOOOO 
OOOOOOOOOOOO 


oooooooo 
oooooooo 


O O O O O 

o o o o o 


intDNCOOlOHCJM 


NWWM'J'-lt'fiOiOiOCffl 


t— t— 00OSCSOO-H 


H CI CI « M 
<M CI CI CI CI 








o 


OOOOOOOOO 

OOOOOOOOO 


OOOOOOOOOOOO 
OOOOOOOOOOOO 


0000>0000 

oooooooo 


o o o o o 

o o o o o 


NOOOOrtHNMM 


nttiOUJOOSNWOOO 


OOhhcicimm 

MCQNCIdlMMN 


■t ■* w in o 

CI CI CI CI CI 






z 


OOOOOOOOO 
OOOOOOOOO 


OOOOOOOOOOOO 
OOOOOOOOOOOO 


oooooooo 
oooooooo 


o o o o o 
o o o o o 


osOi-tci-^cor—cocs 


O •— I N M V U) (O S CO OS OS O 


HMntf'Jiintno 

MP5C3COC3MP0CO 


r- co os O O 

CO CO CO ^ "^t* 


(5 

O 

H 

H 
Pn 


(J 


O00>0 0"00»00 
IQONNtQDOOlOO 


oioireooioiraooioioo 

O O O ^ "-" >— I H (N M N N M 


oioioooooin 
cjMmv'jiinioio 


IO O O 'O iO 

iO CO CO CO CO 






M 


M^'jiaibffloi'b 


IDNSNNNNCOOOCOWCO 


COOSCSOSOSCSOO 


He* Hn Hc« 

O O — * iH — 


Iff 

Q 
2i 

O 
Pn 


w 
K 

n 

« 

K 
Ph 





TliiOlONOOWOOlO 


CSOOOOO*-H-*^H-HCItM 


Mw^^tininm 


CO CO t— t— CO 








6 


locot— oocsooo— ■ 


HrtHCINCIMMMM'f'J' 


IOIOONNMOOM 


OS OS O O '-' 




H 


intcNnffiOHHN 


cicocO'^-a'ioioocoor— i— 


CO&OOSCSOO-h-h 


rt CI M M ■* 
CI CI CI CI CI 








<l 


■^iOSDt— COCOGSOSO 


OHHClONMMMTfl'tf 


l OiOcO'ScOt-l>-t— 


N N CO CO O) 




CO 


locor—coosoo-^-- 


CJCicon^'i'inioiootDio 


r-t—oooocsoo>-i 


CI CI CO CO CO 

ci ci ci ci ci 








iO 


©COOO-NW^'Ji 


in CO CO I— I— COCOOOCSOO 


CI CI CI CO W C) CI CI 


OS OS O O O 
CI CI CO CO CO 






"tfl 


NOlHCO^tONCCOl 


00-H^-HCICIC-1CICO'>*<10 

CINMC1NC5IMC1CIC1NCI 


lOCOCOt— oso^hci 
NNNCIMMMM 


CO "tf" iO »o iO 

co co co co co 


™ 


00>He"OCOCOO*-iCICO 

t-H—I,-<.-HCIOICICI 


■•^lOCOI—COOSOO-H-HCICO 
NWNNIMNMMMMMm 


lliOfflSOIOHW 
MM(OMW"liT|i't 


CO -*f IO iO iO 


CI 


OCOiOCOOCOiOcOl— 

^,-i»-i,-(oieNicicNic5 


COOOHMcOiliOtDNMO 
CINMMCOWM«C5MMt|i 


CI -* iO t— 0O CS O --H 

■fTi'^-iiii^inio 


CI CO TJH ■* IO 

■O IO iO iO IO 


- 


H H w cl CI N CI M « 


irecoi—cooiO^-cicO'^ior-- 

MTCMMCO'J'Tli^'Tl'il^'* 


C:T-HCOlO^~00-H 

-3*k;ioioioiooco 


CI W * ^1 iO 








i ire o in o >o o io o 

i rt H CI CM P3 CO Tf 

OOOOOOOOO 

dddddcadd 
03eac3c3c3c3e3c3cS 


lOOiOOlOOiOOlOOtOO 
TfiOlOCOeOt^-t^-COCQOlCiO 


oooooooo 

h w n if io ^o n w 


o o o o o 

OS O >-H CI CO 


■-, -. ~ ~ ~ 1_ „ ;- fc, j-i t- f- 

>>>>>>>>>>:>;> 
OOOOOOOOOOOO 
TJT3T3l3T3-n'UT3TJX!TJ'a 

ddCddaddaead 

.":' — -■; ~ ■.. n .-; r: ~ ~ ."!.. . 
cocoKicntncoiHmmtoOTtn 


oooooooo 

caacccca 

OJCDOOtDajtDQJ 


f~, Ih t- U U 

cv a; o oj n> 

> > > > > 

o o o o o 
-0 ns -3 13 T3 

c a d c a 

c^ Cj Cv c3 a3 
cu <y cu o 


SSS8SSSSS 

»OOiOOinOlOOiO 
Wi-HCICICOCO-'**H 


a s a a as s a s s a a 

oioomomoiooiooo 
iniOOcor-r-cocQasoso^ 


SHsasass 

oooooooo 
cjco-*iocor— coos 


a a e a a 

o o o o o 

O -H CI CO Tf< 

CI CI CI CI CI 







REDUCTION OF FREIGHT RATES 



115 



in 


,— , 


■n 
















a 


o 


o 


© 


o 












o 




















cm 


CO 


CO 


eo 


CM 


co 


CO 


co 


CO 


CO 


CO 


eo 


eo 


CO 


CO 





















— 


- 


*-» 


C") 


- 


o 


o 


© 


o 


o 


o 


us 


o 


in 


































o 


o 








CO 




CM 


CM 


eg 


co 


cm 


cm 



















aocoooao©©©© 



h N N M rt 



o 

o 

CO 
CM 


O 
O 

CM 


© 
o 

^* 
CM 


a 

O 
CM 


O 

a 
in 

CM 


© 

CO 
CO 


© 
© 


o 
© 

oo 

CM 


© 

o 
- 

CM 


© 
o 

o 

CO 


a 
© 

CO 


a 
o 

CO 

CO 


— 
o 

CO 
CO 


a 
© 

CO 


o 
o 

in 

CO 


O 

a 

© 
CO 


O 
CM 


o 
o 

CO 


O 
- 

CM 


O 

o 

OS 
CM 


o 
© 

© 

eo 


o 
o 

K 


O 

z. 

CM 

CO 


© 

o 

CO 
CO 


o 

o 
•*st 

CO 


o 

o 

m 

CO 


a 
— 

© 

CO 


© 

o 

co 


o 
o 

CO 
CO 


© 
© 

© 
co 


o 

o 


O 

o 


CO 

- 

CM 


- 
O 


- 

o 
eo 


© 
o 


o 

o 

in 


o 
© 

© 


o 
© 


o 
© 

CO 


o 

US 
OS 


o 

© 


© 
© 

in 


o 
o 

CM 
IO 


o 
o 

CM 

in 


o 


o 


IO 


m 


in 

CO 




in 

© 

CO 


IO 


IO 
CM 

CM 


CO 
CO 


U3 

eo 


us 

m 

eo 


CO 
CO 


»n 


in 


s 


« 


CN 




eo 


*! 


1 


>~. 


IS 


CD 


© 


r- 


t— 


X 


CO 


00 


© 


~ 


Z 
CO 


O 

CM 


eq 


CM 


CM 


CO 
CO 


CM 

eo 


CO 
CM 


eo 
eo 


eo 

CM 


CO 
CM 


CM 


CM 


CM 


CM 


CO 
CM 


CO 
CM 


CM 


a 


US 


us 

CO 


in 

CM 


in 


to 
eo 


CO 


CD 
CO 


CO 


•* 


l» 
CM 


in 

CM 


CD 
CM 


CO 
CM 


cO 
CM 


CO 
CM 


eo 


CM 


CM 


CM 


CM 


CO 
CM 


CO 


© 


- 


O 


O 


© 


5 


CM 


CO 


n 


CM 

CO 


CM 


CM 

CO 


CO 


CO 
CM 


CO 


CM 


CO 
CM 


CO 


CO 
CM 


CO 
CM 


CM 


CM 


CO 


CM 


in 

CO 


in 

CO 


© 

CO 


© 

CO 


CO 
CO 


CO 


C0 


a 

CO 


o 

CO 


-- 


':'■. 


CO 


CO 


!C 


CO 

CO 


CO 

eo 


CO 

eo 


CO 


eo 


•<* 

eo 


CO 


m 
co 


CO 


CD 
CO 


CO 
CO 


CD 

CO 


eo 


eo 


OS 

CO 


© 

CO 


O 


© 


-^ 


-r 


■* 


CO 


CM 


10 


us 


eo 


CD 


i- 




© 
if 


© 


c 

in 


© 
in 


us 


US 


CM 

m 


in 


CO 


m 

US 


m 

IQ 


cO 


CO 

m 


lO 


CO 


© 
US 


© 

us 


O 

CO 


CD 


CM 
© 


to 


CO 

© 


CO 
CO 


-*> 
co 


in 

CO 


in 

CO 


CO 
CO 


CO 

CD 


CD 


oo 
© 


© 

CO 


o 


r- 


CO 


co 




us 


co 





©oooooooooooooo 

^( IO IO N CO C :i "T » "-JG O CO rP CO OO 

u, t* u ~ -- 1- -■ ~ -■ - ■- ~ - ■- - 
ooiucuojQJocjoajcuajcuocu 

>>>>>>>>;>>>;>>;>> 
ooooooooooooooo 



'a-d'w13~13'3"a , 



I 13 -V TS -U ' 



aaaaaaaaccaaaaa 

c3cSc3c3cJo3c3c3rtc3cJo3ricJc3 
mocoQjajQjoajiDmiiicyocjci) 

1 1 1 1 s s 1 1 1 s s 1 1 1 a 

©ooooooooooo©©© 

lOONMOMffflcOOnfOOOO 
CMCOCMeOCOCOCOCOCO-fJi-^-^-eH-tHin 



116 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(18) 

PROCLAMATION BY THE GOVERNOR, DECLARING FREIGHT RATE 
SCHEDULE. AUGUST 13, 1914 

State of North Carolina 

Executive Department 

Raleigh 

A Proclamation by the Governor 

Whereas the Extra Session of the General Assembly of 1913 did enact a statute 
"To fix and provide machinery for fixing rates to be charged by railroads for 
transporting freight within the State of North Carolina," which statute is chapter 
20 of the Public Laws of the Extra Session of 1913 ; and 

Whereas section 4a of said statute provides: "Should any one or more of the 
common carriers affected by the rates prescribed in this act make representation 
to the Governor of the State that the rates herein provided are or would be confis- 
catory or unreasonable, and the Governor should be of opinion that such complaint 
is in good faith, and that there is good and sufficient reason for investigating the 
facts, then the Governor shall be and he is hereby empowered to appoint a Special 
Commission of not more than three persons to immediately investigate the facts, 
and make report of their findings to him. Pending such investigation and report, 
the Governor is hereby authorized to suspend the operation of this act for a period 
of not exceeding sixty days upon the recommendation of the Special Commission 
herein provided for; and upon similar recommendation made, in order to allow 
time for proper investigation, to make additional suspension for such time as the 
said Special Commission may recommend as reasonable and necessary for the com- 
pletion of the investigation" ; and 

Whereas the common carriers affected by the rates prescribed in the act did 
make representations to the Governor of the State that the rates provided in the 
act are and would be confiscatory and unreasonable, and the Governor was of 
opinion that such complaint was in good faith, and that there was good and suffi- 
cient reason for investigating the facts ; and 

Whereas, in the exercise of the power conferred by the statute, the Governor 
did appoint a Special Commission of three persons, to wit, Michael Hoke Justice, 
William Louis Poteat, and Alfred A. Thompson, to immediately investigate the 
facts and make report of their findings to him ; and did from time to time suspend 
the operation of the said statute to allow time for proper investigation; and 

Whereas the said Special Commission, as directed and empowered by the said 
statute, has made report to the Governor of their findings, and has fixed the rates 
to be charged by railroads for the transportation of freight within the State of 
North Carolina, which said report and schedule of rates is hereto attached, and 
made part of this proclamation : 

Now, therefore, I, Locke Craig, Governor of North Carolina, do hereby pro- 
claim that the rates so fixed by the said Special Commission are the maximum 
rates to be charged by the railroads for the transportation of freight within the 
State of North Carolina, whenever the said statute shall become operative by the 
terms thereof; and in accordance with the power conferred upon me by the said 



REDUCTION OF FREIGHT RATES 117 

statute, I do hereby promulgate the said report and the said rates fixed therein, 
and do hereby file the same with the Corporation Commission of the State of 
North Carolina, to become effective and operative from and after sixty days from 
this date, as provided by the said statute. 

Done at our city of Raleigh, this the thirteenth day of August, in the 
[great year of our Lord one thousand nine hundred and fourteen, and in the one 
seal] hundred and thirty-ninth year of our American independence. 

Locke Craig, 
By the Governor: Governor. 

Jno. P. Kerr, 

Private Secretary. 

(19) 

CERTIFICATE SPECIAL FREIGHT RATE COMMISSION IN REGARD 
TO LUMBER SCHEDULE 

His Excellency, Locke Craig, September 11, 1914. 

Governor of North Carolina. 
Dear Sir : — We hereby certify that the Freight Rate Commission in consider- 
ing the lumber schedules settled upon 24,000 pounds as the minimum weight on a 
car of lumber, but it seems that by some mistake 30,000 pounds was written in our 
report to you heretofore made. Therefore we ask that you certify the correct 
minimum weight, to wit, 24,000 pounds, to the Corporation Commission, to the end 
that it may amend the record accordingly. 

Very truly yours, 

M. H. Justice, Chairman, 
Alf. A. Thompson, 
W. L. Poteat, 

Members of Commission. 

(20) 

LETTER OF A. A. THOMPSON TO ASSISTANT ATTORNEY-GENERAL, 

ATTACHED TO CERTIFICATE OF SPECIAL FREIGHT 

RATE COMMISSION 

Mr. T. H. Calvert, Raleigh, 1ST. O, September 21, 1914. 

Assistant Attorney-General, 
Raleigh, N. C. 

Dear Sir : — Replying to your letter of September 19th. 

I sign and return the inclosure. 

Let me suggest, however, that you confer with the Corporation Commission 
before undertaking to correct the error. I do not think any great hardship will 
result, even if the correction is not made. The rates probably have been sent to 
the railroads, and great confusion might result in trying to correct the error 
referred to. Very truly yours, ^^ A _ ThompsoN- 



118 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(21) 
SOUTHERN RAILWAY COMPANY, BY ALFRED P. THOM, TRANSMIT- 
TING PAPER SIGNED BY COMMON CARRIERS RELATING TO 
RATES IN EFFECT ACCORDING TO PROCLAMA- 
TION BY THE GOVERNOR 

Southern Railway Company 

Hon. Locke Craig, Washington, D. C, October 6, 1914. 

Governor of North Carolina, 
Raleigh, N. C. 
My dear Governor: — At the request of the various railroad companies doing 
business as common carriers in the State of North Carolina, I beg to hand you 
herewith a paper signed by them relating to the intrastate rates which, according 
to the proclamation of your Excellency, are to be put into effect on the 13th instant. 
With kind regards and best wishes, I am, Sincerely yours, 

Alfred P. Thom. 
Hon. Locke Craig, Governor of North Carolina: 

Sik: — The undersigned railroad companies doing business as common 
carriers in the State of North Carolina, have had their attention called to the 
proclamation of your Excellency, dated August 13, 1914, in which you pro- 
mulgate the intrastate freight rates fixed by the Honorable Special Com- 
mission appointed by your Excellency under an act of the General Assembly 
of North Carolina entitled "An act to fix and to provide machinery for fix- 
ing rates to be charged by railroads for transporting freight within the 
State of North Carolina," ratified the 13th day of October, 1913. 

We respectfully notify your Excellency that these rates will be put into 
effect by us on the day on which, by the terms of your proclamation, they 
become effective. 

In doing this we desire to express our appreciation of the painstaking 
care which the Special Commission exhibited in the performance of its diffi- 
cult task and of the uniform courtesy and consideration with which, in the 
course of its investigation, it treated all parties before it. 

While we consider it proper, under the circumstances, to put these rates 
into effect without legal controversy, we deem it our duty, not only to the 
owners of the properties but to the public vitally dependent upon these 
properties for efficient service, to call your Excellency's attention to our 
belief that the rates mentioned are lower than are reasonable for the service 
to be rendered, and to the fact that they involve substantial reductions 
in the revenues of these carriers which they are in no position to stand, and 
it is claimed by many and there is danger to apprehend that they create 
serious and unjustified discriminations against interstate traffic, which is 
subject to rates in and of themselves certainly no higher than is reasonable 
and just. 

Your Excellency is aware that the "Act to regulate commerce," enacted 
by Congress, makes it unlawful for any common carrier subject to that act, 
as all the undersigned carriers are, to make any undue discrimination against 
any locality or description of traffic, that penalties are provided for dis- 
obedience to this requirement of law, and that an order of a State commis- 
sion or the mandate of a State statute will not be accepted as an excuse. 

Under these circumstances, these carriers, for their own protection against 
violations of law, are advised that it is incumbent upon them to lay the facts 



REDUCTION OF FREIGHT RATES 119 

relating to such apparent discrimination before the Interstate Commerce 
Commission for such action as that Commission will consider it proper under 
the law to take. 

These carriers further desire to emphasize the fact, above mentioned, 
that they are in no position to stand the reductions in their revenues caused 
by the rates fixed by the Special Commission. This consideration has become 
even more substantial and serious since the hearings before the Commission 
were closed. Since that time a war of unparalleled magnitude has broken 
out in Europe which has seriously affected the business of America, and 
especially of the South. While the unfortunate consequences have come 
upon all departments of business, the transportation industry is as essen- 
tial to the general welfare as is government itself, and must in the public 
interest be sustained. The public welfare will not permit the revenues of 
the carriers to be reduced below the level of efficiency. In sustaining the 
efficiency of the carriers the business public is sustaining itself and is creat- 
ing an essential condition precedent to its own prosperity. 

In addition to this controlling consideration, it has likewise transpired, 
since the close of the hearings, that a most serious reduction in the revenues 
of these carriers, in addition to that which a reduction of these rates will 
involve, has actually taken place. 

"While, therefore, in deference to the sentiment and to the authority of 
North Carolina, these carriers have determined to put into effect the rates 
fixed by the Honorable Special Commission and promulgated by your Excel- 
lency, we do so under respectful protest, and shall ask of your Excellency 
and of the other appropriate authorities of the State such relief as may be 
just and reasonable under the circumstances. 

Atlantic Coast Line Railroad Company, 

By J. R. Kenly, President. 
Carolina, Clinchfield and Ohio Railway Company, 

By Mack N. Patten, President. 
Carolina and Northwestern Railway, 

By W. A. Barber, President. 
Norfolk Southern Railroad Company, 

By J. H. Young, President. 
Norfolk and Western Railway Company, 

By L. E. Johnson, President. 
Seaboard Air Line Railway, 

By W. J. Habahan, President. 
Southern Railway Company, 

By Fairfax Harrison, President. 
Winston-Salem Southbound Railway Company, 

By H. E. Fries, President. 
Washington, D. C, October 3, 1914. 



State of North Carolina 
Governor's Office 
Kaleigh 
Col. Alfred P. Thom, October 8, 1914. 

1S00 Pennsylvania Avenue, 

Washington, D. C. 
Mt dear Colonel Thom : — Your letter of October 6th, with the communica- 
tion of the several railroads interested, has been received. I am very much grati- 
fied to know that the railroads have accepted the schedule of rates which was fixed 



120 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

by the Special Commission. I hope that these rates when put into effect will be 
found remunerative and satisfactory to the carriers. I hope that I shall be at all 
times ready to cooperate in a spirit of justice with the railroads for their own 
prosperity and for the building up of the State. In this I feel sure that the people 
of North Carolina will concur. 

I wish to express my thanks to you, and to the other representatives of the 
carriers, for the uniform courtesy with which you have dealt with the representa- 
tives of the State, and for the spirit of fairness manifested by you in dealing with 
this important and difficult subject. 

With the highest regards, Yours sincerely, 

Locke Ceaig, 

Governor. 



(22) 

STATEMENT OF THE GOVERNOR TO THE PRESS. JANUARY 1, 1916 

Governor Craig stated this morning that he was surprised to see a statement 
in the newspapers, coming from Washington, that certain freight rates for Worth 
Carolina and other Southern States are to be increased on January 1st. "From 
the statement," he said, "this increase may be no insignificant matter." 

"Recently," continued he, "I have seen several short notices in the newspapers 
that there was some proceeding on foot to change freight rates in the South Atlan- 
tic States. These notices that I have seen have been vague, and did not make 
upon me the impression that any change was about to be made by which the people 
of this State would be seriously affected. I have had no notice whatever of any 
such proceeding, except what I have picked up in the newspapers. If any explicit 
statement has appeared in any of the papers to the effect that freight rates would 
be substantially changed, it has escaped me. I have instituted an inquiry to 
inform myself fully on this subject. As soon as I get the facts, the public shall 
know them." 



(23) 

STATEMENT OF THE GOVERNOR TO THE PRESS. JANUARY 1, 1916 

Governor Craig said: 

"Since making the above statement I have received from Mr. Maxwell, the 
clerk of the Corporation Commission, the following letter: 

State op North Carolina 

Corporation Commission 

Raleigh 

January 1, 1916. 
Hon. Locke Craig, Governor, Raleigh, N. O.l 

Sir: — Knowing your great interest in the matter of a fair and equitable 
adjustment of freight rates into and out of this State, it is thought proper 
to bring to your attention the new schedule of rates from practically all 
points of origin in this State to all points in Southeastern territory (includ- 



REDUCTION OF FREIGHT RATES 121 

ing Mississippi Valley territory) which became effective today by order of the 
Interstate Commerce Commission made on yesterday. 

This new schedule of rates was worked out by the Southeastern railway 
lines under order of the Interstate Commerce Commission of April 13, 1914, 
and covers a complete revision of all class rates from the north, east, and 
west to the Southeastern territory. It required more than eighteen months 
time for their compilation by a large corps of rate experts, and they were 
filed about December 1st, to become effective January 1st. A copy of the 
tariff did not reach the Corporation Commission till about December 10th, 
and obviously there was not sufficient time to analyze the new tariffs and 
present adequately to the Interstate Commerce Commission, and get consid- 
eration of, such objections as could properly be presented in behalf of the 
interests of the North Carolina shippers; so the Corporation Commission 
filed a general protest against the proposed rates, and asked that the effective 
date of the new tariffs be postponed until there could be an adequate investi- 
gation of the new rates, and the railroads required to justify the substantial 
advances proposed. Protests were made by many industrial centers in other 
States, but as indicated by the press reports this morning from Washington, 
the Commission has declined to suspend the new tariffs, and its order makes 
the following statement: 

"The fact that the Commission has not suspended the new 
schedule carries with it no approval, and this action is subject to 
the duty of the Commission to investigate the lawfulness and reason- 
ableness of any schedule which may be made the subject of formal 
complaint." 
The new schedule of rates are made ostensibly to conform to rules laid 
down by the Interstate Commerce Commission with respect to long and short 
haul observance, but in the opinion of many rate experts they have in doing 
so made provision for a substantial increase in revenue. 

In so far as there is a key to the rate structure in the Southeast, it may 
be said that the rates to the Southeastern gateways, like Atlanta, Bir- 
mingham, and Chattanooga, are the keys. Rates to these points have hereto- 
fore been substantially less than to contiguous and intermediate points. 
In the new rate structure this is changed in every instance by a substantial 
raise in the rates to the gateway points and in some cases by a reduction in 
rates to intermediate local stations. The rate from Virginia cities to Atlanta 
is increased from 84 cents to $1; to Birmingham from 87 cents to ?1.07; to 
Chattanooga from 84 cents to $1.07. These increases in rates apply generally 
from North Carolina points of origin, and it may be said that like increases 
apply generally from all points north, east, and west with which our pro- 
ducers compete, though in some cases increases from western points are not 
as great. 

So far as the measure o\f the rates as a whole is concerned, it may be 
said that our interest is common with that of competitors in the north, east, 
and west; but the feature of it that has most interested the Commission is 
the hope that in this general rearrangement of rates, and particularly inas- 
much as it is apparent that a general average increase in the measure of 
■the rates is being made, there may be a proper adjustment of our rates 
with relation to the rates from the Virginia cities. Our rate basis out- 
bound to the Southeast has heretofore been the same as the rates from the 
Virginia cities, an average of 189 miles greater distance. This principle 
is recognized in the new adjustment, but only to the extent of a differential 
of seven cents first class under the rate from Virginia cities, and only to a 
limited territory, which includes Atlanta. This differential is not nearly 
as great as the actual cost of the transportation for the greater distance 



122 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

from the Virginia cities would justify, and a proper differential should 
apply to all interior points in the Southeastern territory. Our manufac- 
turers and producers are subjected to a high rate over the Virginia cities 
on all freight inbound from the north and west, and should at least have 
the benefit of such difference under the Virginia cities as the shorter dis- 
tance would reasonably give them in rates outbound to the south. 

The bulk of the traffic that has heretofore moved from North Carolina 
outbound to the southeast has moved under commodity tariffs which are not 
repealed by the new class tariffs. This statement applies to furniture, cotton 
goods, bagging, tobacco, etc. It is noted, however, that the order of the 
Interstate Commerce Commission on yesterday requires the railroads to 
revise these commodity tariffs within ninety days, so that an increase in 
these rates in line with the increased class rates may be anticipated. 

None of the increases apply to rates inbound from the West which were 
the subject of compromise effective June 20, 1914. 

Very respectfully, 

A. J. Maxwell, 

Clerk. 
Continuing, the Governor said : 

"It seems to me that there is no good reason for an increase of freight rates 
at this time in the South. There is unprecedented industrial activity and develop- 
ment. The depression that prevailed in the summer and fall of 1914 has been 
succeeded by increasing prosperity in nearly all departments of business. The rail- 
roads participate in the general improvement. The report of Mr. Fairfax Harri- 
son, president of the Southern Railway Company, to the stockholders for the year 
ending June 30, 1915, shows that his company is in a good, healthy condition. By 
able management under existing rates it triumphed over adversity and 'vicissitudes 
of this year of need' and 'fought a losing fight and won.' jSTot all enterprises have 
been so fortunate. 

"The affairs of the Seaboard Air Line have been managed with such skill, and 
its condition is so good that it voluntarily abandoned its suit against the Corpora- 
tion Commission for the reduction of the appraisement for taxation made by the 
Commission. It could not make a showing that would give it a standing in a court 
of equity. At least, it did not make the showing. And it did not desire to disturb 
an amicable relation. 

"I assume that the other transportation lines in the South are in a condition 
that is about as satisfactory. 

"Besides, in this rate schedule promulgated by the Interstate Commerce Com- 
mission there is an inequity that in my opinion is indefensible. All freight orig- 
inating in North Carolina and going south, except to a 'limited territory which 
includes Atlanta,' is to bear the same tariff as the same class of freight originating 
in the Virginia cities, although these Virginia cities are on an average 189 miles 
farther from these southern markets than the North Carolina points. And on 
freight going to 'this limited territory,' including Atlanta, we get a rate only 7 
cents lower on first-class freight than the Virginia cities. To illustrate: the rate 
on furniture from Lynchburg, Richmond, and Roanoke to Atlanta under the new 
schedule is $1 per hundred pounds; from High Point to Atlanta it is 93 cents a 
hundred pounds. From High Point and other North Carolina towns to all other 
southern points, the rate is $1 per hundred pounds, the same as from Virginia 
cities. This is a decided increase over the rates heretofore existing. 

"A little more than two years ago we came to an agreement with the railroads 
as to rates from the North and Northwest on freight brought into this State. 



REDUCTION OF FREIGHT RATES 123 

These rates agreed upon are higher than the rates charged Virginia cities, although 
the freight is hauled through North Carolina towns to these cities in Virginia. 
In consideration of all the circumstances and difficulties, this matter was adjusted. 
While North Carolina did not get all to which she was entitled, we accepted the 
situation. Now it seems we are to he charged on freight going south the same as 
the Virginia cities are charged, although the freight is hauled from Virginia 
through North Carolina to these southern points. On such tariffs North Carolina 
would 'get it in the neck' both going and coming. 

"This schedule that goes into effect today is not a final adjudication, and it 
should never be. 

"The commodity rates on freight going south, it seems, have not yet been 
changed, and will not be for ninety days. 

"One of the most desirable considerations of the settlement of the freight rate 
question two years ago was the establishment of good feeling between the railroads 
and the people of the State. I would deeply regret that this good feeling and 
mutual desire for each others' welfare, and willingness to cooperate with each 
other, should be disturbed. I cannot believe that the men who are now managing 
the carriers that operate in this State, who have heretofore manifested an earnest 
desire for an equitable adjustment of all differences, will contend that freight 
originating in North Carolina going south shall bear the same tariff as similar 
freight originating in Virginia — nearly two hundred miles farther from destina- 
tion." 



(24) 

LETTER AND STATEMENT OF PRESIDENT FAIRFAX HARRISON OF 

THE SOUTHERN RAILWAY, JANUARY 4, 1916. LETTER 

FROM THE GOVERNOR IN REPLY THERETO 

Southern Railway Company 
Office of the President 

Washington, D. C, January 4, 1916. 
The Hon. Locke Craig, Governor, 

Raleigh, N. C. 

Dear. Governor Craig : — I have read with interest your statement published 
in the Raleigh News and Observer newspaper yesterday about the new interstate 
freight tariffs which went into effect in the South on January 1. 

These tariffs are revolutionary, but they are not of the seeking of the railroads. 
The historical development of freight rates in the South has been on the so-called 
basing points ever since the first through railroads were built. They violated the 
long and short haul principle when that came to be formulated, but under them 
the South has had its amazing industrial development during the past twenty 
years, and I have never been convinced that they were worthy of all the condemna- 
tion which has been visited upon them politically. By the act of Congress as 
amended June 18, 1910, it was finally determined that the long and short haul 
principle should be applied and, after full investigation, the Interstate Commerce 
Commission ordered the railroads of the South to apply it. For your information, 



124 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

I enclose a copy of their opinion of April 13, 1914. Loyally, but with many mis- 
givings, the railroads went to work to carry this judgment into effect. The further 
they got into it the more disturbances of existing conditions they realized would 
result. Accordingly, under date of January 25, 1915, the presidents of the prin- 
cipal lines in the South made public a warning on the subject which was widely 
distributed but little heeded. I am informed that a copy was sent to you, but 
doubtless did not come to your attention. I inclose another copy herewith. 

When at last, after eighteen months bard work, the new tariffs were prepared 
and filed, it became apparent that the basing point cities of the South had just 
awakened to the situation. At the last minute they brought strong political pres- 
sure upon the Interstate Commerce Commission to suspend the tariffs ; but that 
body, under the spur of the act of Congress, refused to interfere. 

Speaking for one railroad in the South, I was content to try to work out our 
salvation under the old rate structure, though I realized that we would doubtless 
have in time to ask for increased rates to meet the steadily increasing expenses, 
many of which are not under our control. The revised tariffs were not intended 
to increase revenues, though my own judgment is that the immediate effect will 
be the equivalent of a moderate increase, as merchandise will probably continue 
to move to the old basing point cities which take the higher rates until the inter- 
mediate cities, which in many instances get lower rates, can realize their oppor- 
tunities as distributing and jobbing points. Some of my colleagues do not agree 
with me on this. After all, it is a matter of opinion, and only experience can 
show what the result may be in the matter of railroad revenue. The real benefit 
to the railroads of the new tariffs, when business in the South has become adjusted 
to them, lies in the removal of the long-standing complaint that the basing point 
cities have had special privileges in their depressed rates and that the railroads 
have discriminated against the intermediate cities which have grown to importance 
in recent years. I look for comfort in this, though I do not venture to predict 
what may be the economic effect of this application of a political theory to a 
practical business situation. My main purpose in writing to you is to invite your 
realization that we have been put, without our own volition, between two mill- 
stones. 

I was somewhat disturbed by your apparent understanding that the readjust- 
ment discriminates against North Carolina. I knew that was not the intention, 
and I am glad to be advised by our traffic officers that it is not the fact. When 
the tariffs are studied, I have no doubt that you will be advised that North Caro- 
lina's position with respect to Southeastern and Mississippi Valley territory is, 
on the whole, bettered by this readjustment, which recognizes in all cases Virginia 
cities rates as maxima and to a portion of the territory differentials under Virginia 
cities, which North Carolina has not heretofore enjoyed. To illustrate, prior to 
January 1 the first-class rate from Richmond and from Greensboro to Atlanta was 
84 cents. Effective January 1, the Richmond rate was advanced 16 cents and the 
rate from Greensboro increased 9 cents. 

Furthermore, when revision is completed, rates from the Eastern seaboard by 
water and rail to North Carolina destinations will include marine insurance, which 
is not the case now. 

All of this was recently explained to Chairman Travis. 

Believe me, with respect and esteem, Yours faithfully, 

Fairfax Harrison, 

President. 



REDUCTION OF FREIGHT RATES 125 

To the People Served by the Railroads of the South: 

An order of the Interstate Commerce Commission, pursuant to require- 
ments of Federal law, compels a general revision of Southern freight rates. 
It is proper that the people of the South should be informed as to the 
reasons for this revision and the principles upon which it is being made. 

Excepting the Norfolk and "Western, Chespeake and Ohio, and Virginian 
Railways, which lie in Official Classification territory, the railroads of the 
Southeast receive virtually no part of the 5 per cent increase in rates 
acquiesced in by the Interstate Commerce Commission. While the need of 
the carriers of the South for increased revenue is certainly no less than is 
that of the Northern and Eastern roads, that need is in no way related to 
the revision of rates now in progress, which arises solely from the necessity 
of more nearly conforming to the so-called "long and short haul clause" of 
the law as amended in 1910, and as now construed by the Interstate Com- 
merce Commission. 

The original Act to Regulate Commerce forbade the making of lower 
rates for a -longer than for a shorter distance within the same line or route 
under substantially the same circumstances and conditions. The carriers 
were free to meet competition as they found it, and were required to answer 
only upon complaint as to the reasonableness of their acts. 

The amendment of 1910 deprived the carriers of the right to initiate de- 
partures from the long and short haul requirement, and they may no longer 
meet competition as they find it if the long and short haul requirement of 
the law is involved, unless they can first obtain the approval of the Inter- 
state Commerce Commission. 

They were furthermore required, by this change in the law, to apply to 
the Commission for authority to continue in force rates existing at the time 
of its passage which contravened the long and short haul principle. 

The existing rate structure of the South is not the creation of traffic man- 
agers of this generation. It is an inheritance from those who built the 
roads, and finds its explanation largely in the geography of the South, and 
in a public policy which encouraged its creation. The changes now in 
progress are not of the carriers' choice. 

Water competition, the most important factor in bringing about depart- 
ure from the long and short haul principle of the law, has been peculiarly 
influential on the rate adjustments of the South, surrounded as it is o<n 
three sides by navigable water and penetrated by navigable streams. Ter- 
mini of the first roads were on navigable waters and rates between those ter- 
mini were from the beginning depressed because of this water competition. 
When, subsequently, railways were extended to the interior, distributing 
points were thereby created, where there arose competition of two or more 
markets, or two or more carriers, resulting in depressions in rates, even 
when there was no direct water competition. 

These conditions undoubtedly contributed to the commercial and indus- 
trial development of the interior South, and, -while they resulted in more 
frequent departures from the long and short haul principle of the law, 
the carriers had every reason to believe that their practice had the approval 
of the public, even when it was not directly the result of public demand. 

Now, the Interstate Commerce Commission, pursuant to the require- 
ments of an amended law, has concluded an inquiry into rates from the 
Eastern Seaboard, including the Virginia cities, from South Atlantic and 
Gulf ports, and from Ohio and Mississippi River crossings, into the South- 
east and Mississippi Valley territory. As a result the Commission has in 
large measure condemned existing departures from the long and short haul 



126 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

requirement, except where justified by competition beyond the control of the 
rail carriers, a phrase which came to be restricted to mean direct or indirect 
water competition. 

Obviously, the removal of inequalities condemned by the Commission, by 
reductions only, would result in disaster to the carriers. This fact is recog- 
nized by the Commission, which, in its review of the situation, stated: 

"It is entirely clear that the revenues of a large percentage 
of the lines in the Southeastern territory would be so impaired by 
such a procedure as to make it impossible for them to meet their 
operating expenses, taxes, and fixed charges, and leave their stock- 
holders even a moderate return." 

It is equally obvious that it would be unfair to punish the carriers, in 
conforming to a changed public policy, for acts which at the time of com- 
mission were approved by public opinion. 

Hence in working out the order of the Commission such elevation of 
rates to the depressed points must accompany reductions to the much larger 
number of intermediate points as will at least preserve the revenues of the 
carriers. 

The task of revision is no easy one. It has been undertaken in loyal 
effort to conform to the law, as now interpreted, and to be fair to all. 

Departures from the long and short haul principle in the South are not 
confined to interstate traffic. There are in the South a great many intra- 
state rates that do not conform to the principle. If undue discriminations 
are to be avoided, these intrastate rates must be brought into harmony 
with the revised interstate adjustment being made under the direction of 
the Interstate Commerce Commission. It is the purpose of the railways of 
the South to take up each intrastate revision with the several State Rail- 
road Commissions. 

J. R. Kenly, President, 
Atlantic Coast Line Railroad Company. 
W. A. Winbtjrn, President, 
Central of Georgia Railway Company. 
M. H. Smith, President, 
Louisville and Nashville Railroad Company. 
W. J. Harahan, 
President, Seaboard Air Line Railway. 

Fairfax Harrison, 
President, Southern Railway Company. 
January 25, 1915. 



State of North Carolina 

Governor's Office 

Ealeigh 

January 6, 1916. 
Mr. Fairfax Harrison, 

President, Southern Railway, 

Washington, D. C. 
My dear Mr. Harrison : — Accept my thanks for your letter of January 4th. 
It seems clear to me that North Carolina is entitled to a lower rate on freight 
going south than the Virginia cities. I understand that these cities of Virginia 
are on an average of 189 miles farther from the markets south of us. It may be 



REDUCTION OF FREIGHT RATES 127 

that these rates are fixed on account of identity of zone; but when the North 
Carolina cities have such a great advantage as to locality in the southern markets, 
are they not entitled to a corresponding reduction in rates? Is it equitable to 
place us arbitrarily in the same zone with Virginia? 

The carriers recognize the right of North Carolina to a lower rate on account 
of the shorter distance by fixing the rate from North Carolina points to Atlanta 
at 93 cents; while from the Virginia cities, or at least from Richmond, it is $1. 
Is there any reason why a differential in favor of North Carolina should be con- 
fined to Atlanta and immediate territory? And assuming that North Carolina is 
entitled to a favorable differential, is she not entitled to much more than seven 
cents ? 

Since coming into the office of Governor I have been impressed with the desire 
of the managers of the carriers of the South to render good service, and conduct 
the business in conformity with a just opinion. 

Having this regard for the carriers, I would be very much obliged if you 
would give me your views on the questions that I have asked in this letter. 

Yours sincerely, LocKE c ^ % 

Governor. 



(25) 
STATEMENT TO THE PRESS. JANUARY 10, 1916 

In regard to the schedule of freight rates put into effect by the Interstate Com- 
merce Com m ission on January 1st, Governor Craig said this morning: 

"I have seen it stated in some of the papers that North Carolina gets a favor- 
able differential of 7 cents over Virginia on freight going south. This is a mis- 
take. "We get this 7 cents differential on first-class freight under the rate from 
Virginia cities only to 'a limited territory which includes Atlanta.' 

"If," continued the Governor, "we are entitled to an advantage over Virginia 
on freight going to 'a, limited territory which includes Atlanta,' by the same prin- 
ciple we are entitled to an advantage over Virginia on freight going to all points 
south of us. 

"This differential of 7 cents to 'a, limited territory which includes Atlanta, is 
insignificant. It is a sop to Cerebus ! 

"These cities in Virginia that have the same rate that we have on freight 
going south are on an average 189 miles farther from the southern markets than 
we are. The rate on first-class freight going to these markets from Virginia is, 
I believe, about 20 cents a hundred miles. On the ratio of the mileage, this would 
give us a rate to these southern points of about 40 cents less than Virginia ; that 
is, if they have a rate of $1 on this basis we should have a rate of 60 cents. But we 
recognize the principle that the rate of the longer haul is somewhat less than the 
rate of the shorter haul. Conceding all that can be claimed in favor of the longer 
haul, we would certainly be entitled to a rate as much as 20 cents less than the 
Virginia cities on all freights going to these markets south of us — certainly an 
average of 20 cents less — some cases more; some cases less. Instead of this, our 
rate on freight going south has been raised along with the Virginia cities 16 cents 



128 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

and more on the hundred, except to that 'limited territory which includes Atlanta, 
where we get the insignificant differential of 7 cents. 

"The fact that North Carolina has heretofore paid on this freight going south 
as much as the cities of Virginia is no reason for the injustice to continue. 

"Virginia gets an advantage by reason of her geographical location on freight 
rates to the north. By the same principle North Carolina is entitled to an advan- 
tage by reason of her geographical location on freights to the markets south of 
her. We want a square deal. 

"The territory south of us is the natural market for the things that we pro- 
duce, and which that country needs. We are entitled to that market, and we are 
entitled to the advantages in rates in accordance with the natural situation. 

"The railroads in the past have by the arbitrary fixing of freight rates created 
and destroyed the business prosperity of cities and communities. The Interstate 
Commerce Commission, our Corporation Commission, and like tribunals have been 
established to guarantee to the people fair dealing and equity according to their 
natural advantages. If the cities of Virginia get an advantage by reason of their 
locality, and we do not get an advantage by reason of our locality, then we cannot 
compete on fair terms with them. Our markets will not thrive, and our people 
will not prosper as they would under equitable conditions. 

"There is a great deal of freight — many commodities shipped to points south 
of us. That section would naturally look to us as the source of supply for furni- 
ture, cotton goods, bagging, tobacco, fruit, cabbages, etc. We are entitled on all 
of these articles to a much lower rate than the Virginia cities. 

"For the last few years it has been apparent that we should produce a surplus 
of corn, hay, cattle, and meat. Our Department of Agriculture, the State press, 
and all of us have been trying to induce our farmers to pay more attention to the 
diversification of crops, and to the cultivation and the production of such things. 
We have begun it. North Carolina is now producing more corn and, I believe, 
more meat than she consumes. She is developing rapidly along these lines, and 
in a few years she will come to be a State, under proper conditions, that will 
largely export meat, hay, grain, and an increasing quantity of apples. The cities 
to the south of us are our natural markets. We should have for these products an 
equitable rate, otherwise our farmers will not have the proper encouragement and 
that development and growth and prosperity will not result which is ours by right. 

"The Corporation Commission stated in Washington: 

" 'This suspension is asked for the reason that the effect of the new rates 
proposed in said tariff will be to substantially and unreasonably advance 
class and commodity rates from nearly all points of origin in North Caro- 
lina to many important common points in the South and Southwest, to the 
undue prejudice of the commercial and manufacturing interests of the State. 

" 'The proposed advance in rates substantially and unreasonably in- 
creases rates on many products manufactured in North Carolina, and par- 
ticularly on furniture, from North Carolina points of origin to the South 
and Southwest. The furniture manufacturing interest in North Carolina is 
the second largest of any State in the Union and competes in the South and 
Southwest territory with furniture manufactured in Central Freight Associa- 
tion territory, and the effect of the proposed advance in rates from North 
Carolina points of origin will put the said North Carolina manufacturers at 
an unjust disadvantage in competition in said territory.' 

"This is not an overstatement of the case, by any means. 



REDUCTION OF FREIGHT RATES 129 

"Nothing should be left undone, and nothing will be left undone, to guarantee 
to our people an equitable rate on that large body of freight produced in North 
Carolina moving to the south. 

"I wish for Virginia the greatest prosperity, but I do not desire Virginia to 
profit over North Carolina by this arbitrary and unjust arrangement. The advan- 
tages which they have by geographical position I would not deny. But I contend 
that Worth Carolina should enjoy the natural advantages which she has by her 
geographical position. This right is plain. It cannot be denied. I do not believe 
that it will be denied by any court that will pass upon it. 

"I desire no contest with the railroads. I believe that they are managed by 
men that wish to do the South justice. Their prosperity means our prosperity; 
and our prosperity means their increasing prosperity. On a clear presentation of 
this question it seems to me that the men who control these carriers must agree 
with us. I believe that they will. No man can deny the justice of our contention. 

"The Interstate Commerce Commission has put these rates into effect, but has 
declared that the adjudication is not final. North Carolina will be heard." 



(26) 

LETTER OF PRESIDENT FAIRFAX HARRISON OF THE 
SOUTHERN RAILWAY 

Southern Railway Company 
Office of the President 

Washington, D. C, January 11, 1916. 

My dear Governor: — I am obliged to you for your letter of January 6th. 

The questions you raise go to the very vitals of the art of rate-making. I do 
not profess to be able to say finally and definitely what is a just measure of the 
rights of any State or community in a delicate adjustment affecting an entire 
territory. Rate-making, like all price-fixing, has never been a science, and the 
only satisfactory test of success which I have ever been able to apply myself has 
been whether a normal community has thriven under the rates it has had. Consider- 
ing the conflicting and selfish interests involved in such an issue as is involved in 
the present situation, and the still surviving, if utterly unjust, belief on the part 
of many that the railroads are always attempting to do something unfair, I have 
welcomed the fact that the ultimate decision rests with a duly constituted tribunal 
like the Interstate Commerce Commission, which can claim to be impartial. In 
saying this, I know that the traffic officers, who have devoted their lives to the study 
of these questions, went into their recent arduous and long sustained labors with 
a high and patriotic belief in their opportunity to work out this radical readjust- 
ment to one end only, namely, with fair consideration for railroad revenues, to 
bring about an adjustment of rates that will remove, as far as may be, occasions 
for complaint of discrimination, and to give to each community affected rates 
which are just both in amount and in relationship. If they have failed in any 

9 



130 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

particular it lias not been through intention, and it remains for those who can 
appreciate all the difficulties of the problem to suggest a remedy. 

We have felt that after the Fourth Section work is completed, the only sub- 
stantial questions which will be left for debate with North Carolina, or any other 
community, are those (a) of relative adjustment, and (b) of the measure of the 
rates themselves : two questions which we have always with us and about which 
it is always difficult to agree; but at least the issue is narrowed. 

I am, therefore, pleased to note that your letter raises no question except one 
of relationship, narrowed down to that of what is a fair difference, North Caro- 
lina points under Virginia cities to a territory where North Carolina has the 
advantage of distance. 

As Mr. Travis understands, the entire North Carolina situation has not been 
treated, for the reason that the Carolinas were not, in their entirety, covered by 
the Commission's review which brought forth the general Fourth Section order 
under which we are now working. The Commission has within the past thirty 
days had a partial hearing respecting rates from the West to points in North 
Carolina and Virginia via the routes through Atlanta and Asheville. 

As the revision proceeds, the question of rates into and out of North Carolina 
must have further consideration, and we believe that finally, after the adjustment 
has been fairly tested, it will produce reasonably satisfactory results. In the 
meantime, permit me to say, as to the particular set of differentials to which you 
refer, the average difference in distance below the Virginia cities from the zone 
from which it applies is not as great as is the average distance from the Virginia 
cities to the zone extending from Winston-Salem through Greensboro to Goldsboro 
and Kinston, to which the rates from the Virginia cities are the same and to 
which the average distance approximates 189 miles. 

On the other hand, the differential accorded points in the Greensboro zone 
under the Virginia cities to Atlanta is exactly the same as is the differential 
Baltimore over the Virginia cities to Atlanta, and this scale of differentials is 
the same as that applied under the revision throughout the territory where the 
total rates in one case begin with 93 cents and in the other $1 on first class. 

This differential in favor of North Carolina is not confined to Atlanta and 
intermediate territory. It already extends to a zone west of Atlanta on our line 
and on that of the Seaboard. Just how much further it may be properly extended 
is subject of further consideration, and the matter is not altogether in our hands 
to control. 

Perhaps I should explain that most of the lines serving the territory south and 
southwest of Atlanta, and which do not reach the Virginia cities, contend that 
even to Atlanta the Virginia cities are not entitled to rates lower than from Cin- 
cinnati, or lower than via rail and water routes from Baltimore through South 
Atlantic ports; their contention being that the long rail haul from the Virginia 
cities is a line of greater resistance than is the long water haul from Baltimore 
plus the short rail hauls from South Atlantic ports to these southeastern destina- 
tions. There is undoubtedly great merit in this contention, and, in so far as that 
position is sound with respect to the Virginia cities, it must be conceded to be 
sound with respect to the North Carolina territory where the disparity of long 
rail hauls versus the water and rail haul also exists. 

To the territory reached through Asheville it is a fact that the average dis- 
tance to Morristown, the point of convergence, from Eastern North Carolina via 



REDUCTION OF FREIGHT RATES 131 

Asheville is quite as great as is the average distance from Norfolk, Roanoke, and 
the intermediate points from which the Virginia cities rates apply via the route 
through Bristol. 

Mr. Green has had two brief conferences with Commissioner Travis on this 
subject. These conferences took place during the time that the Interstate Com- 
merce Commission was giving consideration to the various applications for sus- 
pension of the revised tariffs. In the nature of things, no conclusion could be 
reached ; but Mr. Travis has our assurance of a further very thorough considera- 
tion of this matter and a further conference with him for its discussion in detail. 

Faithfully yours, 

Fairfax Harbison, 

President. 
The Hon. Locke Craig, Governor, 

Raleigh, N. C. 



(Ill) 

PROCLAMATIONS BY THE GOVERNOR 



PROCLAMATIONS BY THE GOVERNOR 

1. Convening the General Assembly in Extra Session on 

September 2k, 1913. 

2. Good Roads Days, November 5 and 6, 1914. 

3. Arbor Day. 

i. Fire Prevention Day. 

5. Belief of the Belgians. 

6. Jewish Belief Day. 

7. Thanksgiving Day, 1913. 

8. Thanksgiving Day, 191k- 

9. Thanksgiving Day, 1915. 

10. Thanksgiving Day, 1916. 

11. Election of Bresidential Electors. 



(1) 

CONVENING THE GENERAL ASSEMBLY IN EXTRA SESSION 
ON SEPTEMBER 24, 1913 

State of North Carolina 

Executive Department 

Raleigh 

A Proclamation by the Governor 

By and with the advice of the Council of State, I, Locke Craig, Governor of 
the State of North Carolina, in the exercise of the power conferred upon me by 
the Constitution, and in accordance with the resolution passed by the General 
Assembly, and ratified on the 6th day of February, 1913, do issue this my procla- 
mation on this extraordinary occasion, convening the General Assembly in Extra 
Session. I do, therefore, notify and request the Senators and the Members of the 
House of Representatives of the General Assembly of North Carolina to meet in 
their respective halls, in the Capitol, in the city of Raleigh, on the 24th day of 
September, 1913, at 11 o'clock a. m., for the following specific purposes: 

1. To provide for the people of North Carolina just transportation rates, and 
to adjust the relations and obligations between the State of North Carolina and 
the railroads operating within the territory of this State. 

2. To receive the report of the Constitutional Commission and to consider the 
submission to the people of amendments to the Constitution. 

In witness whereof, I, Locke Craig, Governor and Commander-in-Chief, have 
hereunto set my hand and caused the Great Seal of the State to be affixed. 

Done in our city of Raleigh, this the 18th day of July, in the year of 
[great our Lord one thousand nine hundred and thirteen, and in the one hun- 
seal] dred and thirty-eighth year of our independence. 

Locke Craig, 
By the Governor: Governor. 

Jno. P. Kere, 

Private Secretary. 



136 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(2) 

GOOD ROADS DAYS, NOVEMBER 5 AND 6, 1914 

State of North Carolina 

Executive Department 

Raleigh 

A Proclamation by the Governor 

Whereas the modern highway is essential to material prosperity and to the 
advancement of the social life of every community; every people that aspires to 
join the forward procession and that hopes for the opportunities of our time is 
beginning to realize the necessity of improved roads; all sections and all pro- 
gressive citizens are demanding them and determined to have them ; the whole 
country has awakened to their importance ; everywhere there is a generous rivalry 
to have the best, and everywhere enthusiasm for them is apparent and increas- 
ing; and 

Whereas the people of North Carolina are losing, according to reliable esti- 
mate, twelve million dollars annually on account of bad roads — this vast sum paid 
as a tribute to mud : 

Now, therefore, recognizing the universal sentiment for road improvement, and 
realizing the benefits which must result therefrom to all the people, I, Locke Craig 
Governor of North Carolina, do set apart Wednesday, the 5th day of November 
and Thursday, the 6th of November, 1913, as Good Roads Days, and do appoint 
these days as holidays and days of festival throughout the State, to celebrate the 
beginning of an era wherein improved highways shall be built in every neighbor- 
hood, that all the people of farm and city may enjoy the opportunities which they 
bring. 

I call upon all patriotic people throughout the State to work upon the public 
roads and refrain from all other occupations on these appointed days ; and I call 
upon every able-bodied man to shoulder his shovel and march out and strike a 
blow for progress. Let the farmer, the merchant, the lawyer, the doctor, the minis- 
ter of the gospel, the rich and the poor, and the men of all the walks of life enlist 
as volunteers in this mighty army for grand accomplishment. 

Let no man be above this work, nor forget his duty to himself and to his 
neighbors. It will be an honor to every man on these days to labor with his 
fellow-man to banish from the country the curse of bad roads and the evils that 
accompany them. 

Let all the people of every station, high or low, be moved by the same patriotic 
impulse to work for the common weal. To all the benefit will come. Let all 
participate. 

I do appoint and set apart these days, the 5th and 6th of November, that the 
people may have an opportunity to give substantial expression to the universal 
desire and determination of the State, in action inspired by hope and rejoicing 
that will resound in one unbroken chorus from the mountains to the sea. 

I call upon all the women to participate. In every hour of danger they have 
inspired the men of North Carolina with faith and courage ; in this day of realiza- 
tion they, with their children, will come to lend to this noble cause the charm and 



PROCLAMATIONS BY THE GOVERNOR 137 

the encouragement of their presence. They can provide good things to eat and 
decorate every worker with a badge of honor. 

Let every citizen do his duty, and these days will be long remembered for the 
impetus they gave to the cause of good roads and a finer civic spirit. 

I call upon the county commissioners of every county in the State to issue a 
proclamation urging the people to go out on the 5th and 6th days of November 
and labor for the welfare of their respective counties and communities as well as 
for the whole State of which they constitute a part. 

I call upon the president of the Farmers' Union to issue his proclamation to 
the farmers of North Carolina and to their various local organizations that this 
great body of our citizenship, constituting as it does the bone and sinew of the 
State, may join with energy and enthusiasm in this movement. More than any 
other class of our people they are dependent upon the country road. More attract- 
ive homes, better farming, and a finer rural life will result from the building of 
modern highways. 

Let the work be completely organized so that it will reach to every neighbor- 
hood "and be conducted in a systematic and business way, to the end that at sun- 
set of the second day there will be no community in all the State where the hand 
of progress and toil has not left its mark in permanent road improvement and the 
progressive spirit its impression in the hearts and minds of the people." 

I call upon the ministers of the gospel, the educators, and the press of the State 
to use their mighty influence for this work which means not only material develop- 
ment, but moral and intellectual development. 

I call upon all road overseers, good roads associations, boards of trade, cham- 
bers of commerce, and all associations and organizations for the public welfare 
and civic betterment to give to this movement the energy of their influence. 

I call upon the mayor of every town and city of North Carolina to issue his 
proclamation that his people may enlist in this organization and in the building 
of roads upon which the prosperity of town and city depends. 

Let every North Carolinian show by his work that he is for the improvement 
of his State. "Let us labor that we may enjoy the fruits today and our children a 
fuller fruition tomorrow." 

Done at our City of Kaleigh, this the 27th day of September, in the 
[great year of our Lord one thousand nine hundred and thirteen, and in the one 
seal] hundred and thirty-eighth year of our American independence. 

Locke Craig, 
By the Governor : Governor. 

Jno. P. Keek, 

Private Secretary. 

Note. — The Governor went to Asheville for Good Roads Days and spent them working 
the Buncombe County roads, along with many of Buncombe's leading citizens. On these 
days the citizens of every community turned out in large numbers and the work done 
by them upon the public roads has been of lasting benefit to the State. The women did 
their part, too. They prepared dinners and other refreshments and served the work- 
men with their own hands. 



138 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(3) 
ARBOR DAY 

State of North Carolina 

Executive Department 

Raleigh 

A Proclamation by the Governor 

Whereas nearly two-thirds of the total area of North Carolina is now cov- 
ered by forest growth, the greater part of which has been cut over by lumbermen 
and devastated by fire to such an extent that its annual yield is less than one-half 
what it should be; and 

Whereas the soil is the material source of our strength and upon its right use 
depends the permanent prosperity of our State; and 

Whereas the present generation is coming to realize that the use of the forest 
and the soil has not been in accordance with proper economy, inasmuch as forests 
have been destroyed by axe and fire, steep lands have been cleared and unwisely 
used and ruinously cultivated; and 

Whereas the coming generation of forest and soil users is now in our public 
schools; and upon the school children of the State is to fall the task of repairing 
the loss caused by our carelessness or indifference; and 

Whereas the General Assembly of this State has seen fit to enact an Arbor 
Day Law : 

Now, therefore, I, Locke Craig, Governor of the State of North Carolina, 
realizing the value which the suitable observance of this day will be to the State in 
interesting the rising generation in a proper appreciation of our forests, our birds, 
our trees and our shrubs, do hereby proclaim that Friday, the 5th day of Novem- 
ber, 1915, shall be appropriately observed as Arbor Day by the teachers and chil- 
dren of all the public schools of the State by recitations, drills, songs, and exer- 
cises appropriate to the occasion, and by the planting of trees and shrubs on the 
school grounds. 

Let this be done that the purpose of Arbor Day may be imbued upon us and 
upon the youth, and interest awakened in a subject the consideration of which will 
add to our general prosperity and the future wealth of North Carolina, and will 
greatly add to the happiness of us and our children. 

Done at our City of Raleigh, this the thirteenth day of September, in 
[great the year of our Lord one thousand nine hundred and fifteen and in the 
seal] one hundred and fortieth year of our American independence. 

Locke Craig, 
By the Governor : Governor. 

Jno. P. Kerr, 

Private Secretary. 



PROCLAMATIONS BY THE GOVERNOR 139 

(4) 
FIRE PREVENTION DAY 

State of North Carolina 

Executive Department 

Raleigh 

A Proclamation by the Governor 

The General Assembly of 1915 amended the insurance laws of North Carolina, 
and among other things enacted : 

"It shall be the duty of the Insurance Co mmi ssioner and Superintendent of 
Public Instruction to provide, as far as practicable, for the teaching of Tire Pre- 
vention' in the colleges and schools of the State, and, if the way be open, to 
arrange for a text-book adapted to such use. Also by adding to said section as 
section 4721 (b) the following: 'The 9th day of October of each and every year 
shall be set aside and designated as Pire Prevention Day, and the Governor shall 
issue a proclamation urging the people to a proper observance of the said day, 
and the Insurance Co mm issioner shall bring the day and its observance to the 
attention of the officials of the municipalities of the State, and especially to the 
firemen, and where possible arrange suitable programs to be followed in its observ- 
ance.' " 

Now, therefore, I, Locke Craig, Governor of North Carolina, in accordance 
with this statute, do issue this my proclamation, and I do set aside and designate 
Saturday, the 9th day of October, 1915, as Fire Prevention Day, and do urge 
all the people to a proper observance of this day in obedience to the law of North 
Carolina. I urge the public schools of the State, and the municipal officers thereof, 
to give proper and formal recognition of the day and its meaning, and request the 
citizens generally to give special attention on that day to the condition of their 
premises, to the end that the waste and loss of property and life by fire may be 
reduced in this State. 

The loss by fire amounts approximately to three million dollars a year in 
North Carolina. A large per cent of this loss is unnecessary and can be pre- 
vented. Human life, too, is needlessly sacrificed. 

We should remedy the conditions that entail this enormous expense and loss 
suffered not only by those whose property and lives are destroyed, but by all 
citizens in the high rates of insurance caused by unnecessary fires. The preven- 
tion of the needless destruction of the fruits of our labor, and of human life, is a 
duty dictated by economy and humanity. 

Done at our city of Raleigh, this the sixteenth day of September, in 
[great the year of our Lord one thousand nine hundred and fifteen, and in the 
seal] one hundred and fortieth year of our American independence. 

Locke Craig, 
By the Governor: Governor. 

Jno. P. Kerr, 

Private Secretary. 

Note.— The same proclamation issued for October 9, 1916. 



140 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(5) 

RELIEF OF THE BELGIANS 

State op North Carolina 

Executive Department 

Ealeigh 

A Proclamation by the Governor 

Whereas deep distress and misery exists in Belgium and northern France; 
three millions of women and children are in dire need of food and clothing; and 

We have already given generously to these destitute people, but there yet exists 
an alarming shortage of necessary clothing; and 

The Commission for Belief in Belgium has been and now is engaged in fur- 
nishing clothing and food to the destitute inhabitants in Belgium and northern 
France, by and with the approval and consent of the civil and military authorities 
of Germany; 

The great humanitarian work of that Commission is strictly neutral, and at 
the request of Fresident Woodrow Wilson many of our foremost citizens of the 
United States have accepted membership on the Commission : 

]STow, therefore, I, Locke Craig, Governor of North Carolina, respectfully urge 
that people of this State cooperate with the Commission for Belief in Belgium in 
its efforts to clothe these unfortunates ; and to this end I do hereby designate and 
set apart Tuesday, the 7th day of March, 1916, as Belgium Day, in order that 
the attention of all our citizens may be the more specifically directed to this relief 
work and give them an opportunity to buy a yard of cloth on this or any other 
day, or give the equivalent thereof in money to be expended in the purchase of 
clothing for the destitute in Belgium and northern France while winter is upon 
them and the suffering is acute. 

Let every one do something to relieve the innocent from the cruel sufferings 
of this war. 

Done at our city of Ealeigh, this the twelfth day of February, in the 
[great year of our Lord one thousand nine hundred and sixteen, and in the one 
seal] hundred and fortieth year of our American independence. 

Locke Craig, 
By the Governor: Governor. 

Jno. P. Kerr, 

Private Secretary. 



PROCLAMATIONS BY THE GOVERNOR 141 

(6) 
JEWISH RELIEF DAY 

State of North Carolina 

Executive Department 

Raleigh 

A Proclamation by the Governor 

Nine million Jews in Europe are suffering the cruelties of war. They are 
enduring hunger and the cold of the severe winter. They are not responsible for 
this conflict that is destroying them. In their distress they appeal to the charity 
of the world. 

The President of the United States has issued his proclamation making Thurs- 
day, the 27th day of January, Jewish Relief Day. 

In accord with the proclamation of the President, and in response to the 

generous sentiments of the people of North Carolina, I do hereby designate this 

day as Jewish Relief Day, and request the people of the State to remember the 

needy Jews in this time of our prosperity, and to contribute according 

[great to their means toward the alleviation of the condition of these oppressed 

seal] people. LoCKE CeaiG; 

Governor. 
By the Governor : 

Jno. P. Keek, 

Private Secretary. 



(7) 
THANKSGIVING DAY, 1913 

State of North Carolina 

Executive Department 

Raleigh 

A Proclamation by the Governor 

After the harvest is the day of Thanksgiving. Toil has been rewarded in 
manifold abundance; the Nation triumphs in progress and power. An altruistic 
awakening has quickened the conscience of our time; it has commanded the men 
in high places to nobler conceptions of public duty, and inspired the people with 
the hope and determination for advancement. 

Therefore, I, Locke Craig, Governor of the State of North Carolina, in obe- 
dience to the custom established by our fathers, and in accordance with the procla- 
mation of the President of the United States, do proclaim Thursday, the 27th day 
of November, a holiday. 



142 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

I call upon all the people to do no work upon this day; to make this a day of 
rest and rejoicing, and, in reality, a day of Thanksgiving. 

I earnestly hope that the day •will be fully observed by the farmers, merchants, 
mechanics, manufacturers, and by the men, women, and children in all ranks and 
occupations. 

I call upon the people to assemble in their places of worship that they may in 
reverence express to the Almighty their gratitude and faith ; that human sympa- 
thies may be enlarged and the bonds of brotherhood acknowledged and strengthened. 

Let us remember the poor and the unfortunate, and realize that it is more 
blessed to give than to receive. 

We are the heirs of a precious heritage, and let us hope and strive that in this 

commonwealth righteousness may be exalted, and that to all men may come a full 

measure of justice, which is "grander than benevolence, more august than charity." 

Done in our city of Raleigh, on this the twelfth day of November, in 

[great the year of our Lord one thousand nine hundred and thirteen, and in the 

seal] one hundred and thirty-eighth year of our American independence. 

Locke Craig, 
By the Governor: Governor. 

Jno. P. Kerr, 

Private Secretary. 



(8) 
THANKSGIVING DAY, 1914 

State or ISTorth Carolina 

Executive Department 

Raleigh 

A Proclamation by the Governor 

Above all the nations we have been blessed. Throughout the wide domain of 
our country peace presides — in harvest fields and in teeming cities. Industry 
protected and encouraged by law is triumphant, and plenty has been decreed as 
the reward of labor. 

The destiny of the Republic is unfolding in grander revelation, and better 
opportunities are opening to all her citizens in this day of altruistic awakening. 
For us God has ordained order, and will ordain righteousness, that from material 
progress there shall come moral progress and a higher social development. 

America is more than ever the refuge for the oppressed. She offers to the 
worthy, stricken people of Europe homes protected from the ravages of war, 
where life, liberty and the pursuit of happiness are guaranteed to all. 

In the countries across the Atlantic the destruction and suffering and sorrow 
of war are supreme. In Europe, Asia, and Africa fire and sword constitute the 
rule, and death and desolation reign in the seats of the fairest civilizations. As 
of old, in Ramah Rachel weeps for her children, and cannot be comforted. 



PROCLAMATIONS BY TEE GOVERNOR 143 

Now, therefore, I, Locke Craig, Governor of the State of North Carolina, in 
ohedience to the custom established by our fathers, and in accordance with the 
proclamation of the President of the United States, do proclaim Thursday, the 
26th day of November, a day of Thanksgiving and Dedication. 

I call upon all people to observe this day, to assemble in their usual places of 
worship, and in reverence to give thanks to the Almighty for the blessings vouch- 
safed to us, and to pray that the power of faith and righteousness may be quick- 
ened in this land, and that in all lands the reign of the Prince of Peace shall be 
restored. 

I call the people to the realization of their obligation as a State and as a 
Nation, "To purify our principles, ennoble our national ambitions, to make this 
people great and strong, not for aggression and conquest, but for th© peace of the 
world, giving to us the glorious prerogative of leading all nations to juster laws, 
to more humane policies, to sincerer friendship, to rational constituted civil 
liberty, and to universal Christian Brotherhood," to exemplify the strength and 
beneficence of a government based upon moral power rather than military force, 
and to send this message of God to the uttermost parts of the earth for the redemp- 
tion of men. 

On this day let us remember our poor and our unfortunate, for it is more 
blessed to give than to receive. 

And I do further call upon all ministers and all good people that on Sunday, 
the 29th, it being the Sunday after Thanksgiving Day, they contribute to the 
relief of the millions of innocent and industrious people in other lands who are 
suffering and dying, not for any wrong done by them, but because their homes and 
fields have been destroyed by armies, and their defenders slain. This is the obli- 
gation and the exalted privilege of our great and prosperous nation. 

And in this holiday season and approaching Christmas time let us, in humility, 
make some sacrifice in answer to the far-sounding cry for help in obedience to a 
sympathy as wide as the world, as deep as humanity. 

Done in our city of Ealeigh, on this the twelfth day of November, in 
[geeat the year of our Lord one thousand nine hundred and fourteen, and in the 
seax] one hundred and thirty-ninth year of our American independence. 

Locke Craig, 
By the Governor: Governor. 

Jno. P. Keee, 

Private Secretary. 



144 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(9) 

THANKSGIVING DAY, 1915 

State of North Carolina 

Executive Department 

Raleigh 

A Proclamation by the Governor 

The earth yields another harvest. Plenty rewards toil. On field and city 
Peace pronounces its benediction and Industry is victorious. Opportunities in- 
crease with progress. The quickened conscience of the time demands and creates 
conditions that stimulate and respond to aspirations for ampler and stronger life. 
The State is buoyant with hope, and looks forward with ennobling faith to greater 
achievement. Ours is the land of inexhaustible power, where honest effort is 
encouraged, and where the rights of men in all ranks of society are recognized and 
protected further than in any other land. 

Wow, therefore, I, Locke Craig, Governor of the State of North Carolina, in 
obedience to the custom established by our fathers, and in accord with the procla- 
mation of the President of the United States, do proclaim Thursday, the 25th 
day of November, a day of Thanksgiving. 

I call upon all the people to observe this day by assembling in their usual 
places of worship to pray for strength and guidance, and to give thanks to the 
Almighty for His blessings, and for the glorious opportunities granted to us 
above all people. 

According to our means we must provide for the fatherless children and 
widows, and all who are desolate and oppressed, for if we do not we are unworthy 
of our own good fortune. 

Let us on this day dedicate ourselves with renewed energy to the work laid off 
to each of us, and call ourselves to the realization of our obligations as neighbors 
and citizens that we may strive with faith and earnestness for the higher social 
order, whose law is perfect justice. Let us in humility and gratitude remember 
that we have been spared while the world is consumed by war. We should pray 
that to lands now stricken by desolation and death, the beneficence of Peace may 
be restored, and the power of Righteousness exalted in all the earth. 

Done in our city of Raleigh, on this the twelfth day of November, 
[great in the year of our Lord one thousand nine hundred and fifteen, and in 
seal] the one hundred and fortieth year of our American independence. 

Locke Craig, 
By the Governor : Governor. 

Jno. P. Kerr, 

Private Secretary. 



PROCLAMATIONS BY THE GOVERNOR 145 

(10) 

THANKSGIVING DAY, 1916 

State of North Carolina 

Governor's Office 

Raleigh 

A Proclamation by the Governor 

The seed fell upon good ground. The harvest is plenteous. In the marts of 
commerce, in field and in factory, industry has been rewarded with a hountiful 
hand. A prosperity never known hefore has come to all conditions and classes of 
men. Our material achievement leads to social advancement, and a higher social 
order. Altruism is militant for the universal welfare. Our Government is con- 
trolled by a noble purpose, and is responsive to the demands of the age. As never 
in any country, nor in any age, has equity to all men been remembered in the 
highest place of authority. Opportunity has been vouchsafed greater than ever 
before, and to the genius and energy of the American people the future unfolds 
in sublime revelation. 

In wealth, in progress, in freedom and hope to the people, our Republic is the 
first of all nations. She has vindicated the rights of her citizens in every land, 
and has maintained the law of civilization and humanity upon the seas. 

In diplomacy and in dealings with all nations, great and small, she has been 
firm, considerate, and just ; the simple rule of right is the standard that she has 
set and steadfastly maintained. Her demands have been conceded, and her rights 
have been respected when armed nations are ravaged by war. 

Above all, we have peace. While the earth has been consumed by the confla- 
gration of desolation, while ghastly War still strikes with unabated fury and 
reaps his boundless harvest of death and woe, we have been spared to work out 
the high purpose of God. 

Wow, therefore, I, Locke Craig, Governor of the State of North Carolina, in 
obedience to the custom established by our fathers, and in accord with the procla- 
mation of the President of the United States, do proclaim Thursday, the 30th 
day of November, a day of Thanksgiving. 

And I do call upon the people of North Carolina to meet on that day in their 
places of worship and in devout gratitude and humility remember our abundant 
blessings. 

And let us pray that the power of truth may be quickened and our consciences 
awakened to know and to do the will of our Father, that his Kingdom may come 
upon earth; that peace may be restored to all the world; that the Light and the 
spirit of the Prince of Peace may come again to the peoples who drink the cup 
of trembling in the horror of great darkness. 

Let us not forget our neighbors, and the people of our State who may be 
humble and in need, nor the widow and the orphan in distress, nor those who 
have been overtaken by disaster. May our sympathies be broadened and strength- 
ened that we may grow in the grace of charity and toward the realization of the 
brotherhood of men. 

10 



146 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

On this day let our gifts be generous in accordance with our good fortune, and 
let us beseech Almighty God to give us that due sense of all his mercies that our 
hearts may be unfeignedly thankful, and that we show forth his praise not only 
with our lips but in our lives, by giving up ourselves to his service, and by walk- 
ing before him in holiness and righteousness all our days. 

Done in our city of Raleigh, on this the twentieth day of November, 
[great in the year of our Lord one thousand nine hundred and sixteen, and in 
seal] the one hundred and forty-first year of our American independence. 

Locke Craig, 
By the Governor: Governor. 

May F. Jones, 

Private Secretary. 



(11) 
ELECTION OF PRESIDENTIAL ELECTORS 

State of North Carolina 

Governor's Office 

Raleigh 

A Proclamation by the Governor 

I, Locke Craig, Governor of North Carolina, do hereby make proclamation 
and declare the following named persons duly elected as electors to vote for the 
President and Vice-President of the United States : 

Cameron Morrison of the Ninth Congressional District. 

N. A. Sinclair of the Sixth Congressional District. 

H. C. Carter, Jr., of the First Congressional District. 

G. V. Cowper of the Second Congressional District. 

D. E. Henderson of the Third Congressional District. 

T. T. Thorne of the Fourth Congressional District. 

Thomas J. Gold of the Fifth Congressional District. 

J. Bayard Clark of the Sixth Congressional District. 

Thomas B. Finley of the Seventh Congressional District. 

Mark Squires of the Eighth Congressional District. 

"W. M. Wilson of the Ninth Congressional District. 

Felix E. Alley of the Tenth Congressional District. 
And each of said electors is hereby notified to attend at the Capitol, in the city 
of Raleigh, at noon, on the second Monday in January, 1917, it being the 8th day 
of January, 1917, and proceed with the discharge of their duties as by law directed. 
In witness whereof, I, Locke Craig, Governor of North Carolina, 
[great have hereunto set my hand and caused the Great Seal of the State to be 
seal] affixed, this the fourth day of December, 1916. Locke Craig 

By the Governor: Governor. 

Mat F. Jones, 

Private Secretary. 



(IV) 
HIGHWAYS 



HIGHWAYS 

1. Federal aid for construction of Experimental Postal Roads. 

2. Old Fort Highway. 

3. Miscellaneous correspondence in regard to obtaining Federal 

aid for Davidson and Davie counties. 

4. Appointment of commissioners for various townships in Mc- 

Dowell County. 



(1) 

FEDERAL AID FOR CONSTRUCTION OF EXPERLMENTAL 
POSTAL ROADS 

Office of the Postmaster General 
"Washington, D. C. 

January 21, 1913. 
Hon. Locke Craig, 

Governor of the State of North Carolina, 
Raleigh, North Carolina. 
My dear Governor : — Inclosed is a copy of a communication sent to former 
Governor Kitchin under date of November 20, 1912, relative to the improvement 
of roads in your State in accordance with the provisions contained in the last 
postal appropriation bill. A reply to this communication was received from 
Governor Kitchin dated November 26th last to the effect that the matter referred 
to would receive consideration, but since that date nothing further in regard to it 
has reached this Department. 

As you have now succeeded to the Governorship, the offer of Federal aid in 
road improvement is brought to your attention for appropriate consideration and 
action. . Yours very truly, 

Frank H. Hitchcock, 

Postmaster General. 

Post Office Department 

Fourth Assistant Postmaster General 

Washington 

April 30, 1913. 
Hon. Locke Craig, 

Governor of the State of North Carolina, 
Raleigh, North Carolina. 

My dear Sir : — With reference to your communication of the 28th instant, 
which the Postmaster General has referred to me for special attention, I beg to 
state that the results secured from the plan adopted some months ago were so 
unsatisfactory that it was deemed necessary to make other arrangements in this 
regard. These arrangements, which have been approved by the Postmaster Gen- 
eral and the Secretary of Agriculture, contemplated the withdrawal of the offer to 
all States that had not met the requirements on April 21, 1913, and a letter was 
addressed to you under date of the 26th instant, advising you definitely to this 
effect. Yours very truly, 

Jas. I. Blakslee, 
Fourth Assistant Postmaster General. 



150 LETTERS AND PAPERS OP GOVERNOR LOCKE CRAIG 

State of North Carolina 
Executive Department 
Raleigh 
Hon. A. S. Burleson, May 1, 1913. 

Postmaster General, 

Washington, D. C. 
My dear Sir: — I have just received your letter of April 26tli. I inclose a 
copy of two letters which I have received from Postmaster General Hitchcock; 
one dated January 21, 1913, the other dated February 6, 1913. From the copy 
of the letter to Governor W. W. Kitchin referred to in the letter of January 21st, 
I make the following quotation : 

"If you will cause to be selected in your State a suitable road about fifty 
miles long over the entire length of which there is delivery of mail by rural 
carriers and will arrange to have $20,000 raised by the State or local sub- 
divisions thereof, in accordance with the requirements of the law, the Gov- 
ernment will set aside $10,000 additional from the appropriation granted by 
Congress and will expend the sum of $30,000 thus provided, or so much of it 
as seems wise, for the improvement and maintenance of the road selected." 

In consideration of this correspondence between this office and the Postmaster 
General, and relying upon the promises of the Federal Government, I secured the 
passage of an act by our General Assembly looking to the raising of the $20,000. 

An election is to be held within a few days in Old Fort Township, in the 
county of McDowell, for the purpose of raising the $20,000 mentioned in the 
correspondence. The road designated by me, in accordance with the instructions 
of the Postmaster General, is located in the county of McDowell. The people of 
McDowell and that section of the State have gone to considerable trouble and 
expense for the holding of this election. The failure of the Government now to 
furnish the $10,000 will be a great disappointment to them. Relying upon the 
statements of the Postmaster General, I assured them that the $10,000 would be 
furnished by the Federal Government if they would provide the $20,000. 

Will you be kind enough to write me definitely if these people can rely upon 
any aid from the Federal Government? Yours truly, 

Locke Craig, 

Governor. 

Office of the Postmaster General 
Washington, D. C. 

May 3, 1913. 
Hon. Locke Craig, 

Governor of the State of North Carolina, 
Raleigh, North Carolina. 
Sir : — I beg to acknowledge the receipt of your communication of the 1st 
instant, in which you state that, relying on the offer of Federal aid in the improve- 
ment of highways in North Carolina contained in the joint letter addressed by the 
Postmaster General and the Secretary of Agriculture under date of November 20, 
1912, you secured the passage of an act by the General Assembly authorizing the 



HIGHWAYS 151 

authorities of McDowell County to hold an election for the purpose of raising the 
amount of the required local guarantee, and that all arrangements have been made 
for holding the election at an early date. 

In reply I beg to inform you that, in view of your statements in the premises, 
the offer of Federal aid heretofore withdrawn from the State of North Carolina 
is hereby renewed upon the condition that you inform this Department imme- 
diately of the road selected by you for improvement and give satisfactory assur- 
ance that the full amount of the required local guarantee will be available within 
a few days. Eespectfully, A _ g _ BuRLES0N; 

Postmaster General. 



Office of the Postmaster General 
"Washington, D. C. 

Hon. Locke Craig, May 7, 1913. 

Governor of the State of North Carolina, 
Raleigh, North Carolina. 
Sir: — The postal appropriation act for the current fiscal year contains the 
following provision : 

"That there is hereby appropriated the sum of five hundred thousand 
dollars, out of any money in the Treasury not otherwise appropriated, to be 
expended by the Secretary of Agriculture in cooperation with the Post- 
master General in improving the condition of roads to be selected by them 
over which rural delivery is or may hereafter be established, such improve- 
ment to be for the purpose of ascertaining the increase in the territory 
which could be served by each carrier as a result of such improvement, the 
possible increase of the number of delivery days in each year, the amount 
required in excess of local expenditures for the proper maintenance of such 
roads, and the relative saving to the Government in the operation of the 
Rural Delivery Service, and to the local inhabitants, in the transmission 
of their report the results in detail to Congress: Provided, That the State 
or the local subdivision thereof in which such improvement is made under 
this provision shall furnish double the amount of money for the improve- 
ment of the road or roads so selected. Such improvement shall be made 
under the supervision of the Secretary of Agriculture." 

It has been determined to submit the following proposal for your consideration 
and for our further joint action : 

Would the State of North Carolina care to consider a proposal to furnish 
double the amount of an allotment of not more than $40,000 toward the improve- 
ment or construction of roads on which one or more rural delivery routes are in 
operation ? (The requirement last mentioned is fixed by law and cannot be waived.) 

It would seem advisable to undertake the work on an unimproved road located 
in a section of the State where good roads are most needed and where the informa- 
tion called for by the act of Congress could be most readily secured. 

If your State desires to participate in this cooperative movement, it is the 
hope of the Department that you will select a road traveled by rural carriers that 
connects with an improved road starting from a city of some size. This mi°ht 
enable the Department materially to lengthen the rural route or routes and thus 



152 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

effect a closer linking of the producer and the consumer by giving a greater extent 
of rural territory the benefit of the comparatively low parcel post local rate of 
postage. 

My inquiries summarized are (1) whether the State desires to participate 
further in this cooperative undertaking, the State to contribute $80,000 and the 
Government $40,000; (2) if so, whether the State's contribution would be imme- 
diately available, and, if the reply to the first two inquiries is in the affirmative, 
(3) whether you will select, or cause to be selected, a road or roads that will 
apparently meet the requirements of the law and serve the desired purpose. 

In the event that you decide to enter into this undertaking, after you have 
made your selection of a road to be improved or constructed an experienced road 
engineer of the Department of Agriculture would be directed to make an inspection 
of the road and prepare detailed plans for beginning the work. The actual work 
of improvement or construction would be done under the direction of the engineers 
of the Office of Public Roads, Department of Agriculture, who would at all times 
cooperate in every possible manner with the officers of your State Highway Com- 
mission. 

It is not intended that this letter shall be construed as a definite assurance 
that if this proposal appeals to you favorably the Government will make its allot- 
ment of funds and proceed with the work. The offer is made in a tentative form 
only, and is for the purpose of securing necessary preliminary information, sub- 
stantially identical letters having been addressed to the Governors of a number 
of other States. 

I request to be favored with a prompt reply, as it is now the most favorable 
season for highway improvement, and the work, if undertaken in the State of 
North Carolina, should be started at the earliest practicable date. 

Respectfully, 

A. S. Burleson, 
Postmaster General. 

State of North Carolina 
Executive Department 
Raleigh 
Hon. A. S. Burleson, May 14, 1913. 

Postmaster General, 

Washington, D. C. 
My dear Sir : — Answering your letter of May 7th, I will say : 

(1) The State of North Carolina desires to participate in the cooperative 
undertaking of building of public roads, the State to contribute the sum of $S0,000 
and the Government $40,000. 

(2) The State's contribution is immediately available. 

(3) I will select, or cause to be selected, the road or roads that will meet the 
requirements of the letter and serve the desired purpose. 

I understand that your letter of May 7th submits a tentative proposition. 
There are several sections of North Carolina that are now very anxious to par- 
ticipate in the $40,000 appropriation by the Federal Government on the terms 
proposed by your letter. Yours very truly, 

Locke Craig, 

Governor. 



HIGHWAYS 153 

Post Office Department 

Fourth Assistant Postmaster General 

Washington 

Hon. Locke Craig, June 5, 1913. 

Governor of the State of North Carolina, 
Raleigh, North Carolina. 

Sir : — With reference to your letter of May 14th, accepting the tentative offer 
of an allotment of not to exceed $40,000 toward the improvement or construction 
of highways in the State of North Carolina, and stating that the State's contri- 
bution is immediately available, and that you will select, or cause to be selected, 
a road or roads that will meet the requirements of the Department, and that there 
are several sections of North Carolina that are very anxious to participate in the 
forty thousand dollar allotment by the Federal Government, I apprehend that you 
may not fully understand the requirements of the Department, under which the 
Federal allotment is to be expended. 

In suggesting to you the proposed apportionment of $40,000, it was contem- 
plated that this amount and the $80,000 to be provided by the State of North 
Carolina would be used in the improvement or construction of one road or a con- 
tinuous succession of roads, fifty or more miles in length, on which one or more 
rural delivery routes are in operation, in order thereby, not only to extend, if 
possible, the rural delivery service on such roads and to facilitate and increase 
the delivery and collection of mail, but to obtain therefrom complete data as to 
the cost of constructing such a road, the kind and quantities of material used, and 
other data that would be of value in connection with the construction of other 
roads through Federal aid in territory where similar topographic, climatic and 
other conditions exist. 

To divide the Federal allotment and the State's contribution into several por- 
tions for the improvement of a number of disconnected roads would not produce 
the results desired. 

It is desirable that you indicate to the Department at the earliest practicable 
date the road which you desire to be improved. Consideration of the matter would 
be greatly expedited if you would cause to be furnished to the Department a 
sketch, drawing, or blue-print of the road which you may recommend to be im- 
proved. Eespectfully, J AS . I. Blakslee, 

Fourth Assistant Postmaster General. 

State of North Carolina 
Executive Department 
Ealeigh 
Hon. Jas. I. Blakslee, June 12, 1913. 

Fourth Assistant Postmaster General, 
Washington, D. C. 
Dear Sir : — Eeferring to your letter of June 5th concerning the allotment of 
$40,000 by the Government to this State for good road improvement, I have to 
say that Governor Craig has been compelled to leave his office for rest and recuper- 
ation, and will probably not be in his office before about July 1st. 

Very truly yours, j 0HN p. Xxim, 

Private Secretary. 



154 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Post Office Department 

Fourth Assistant Postmaster General 

Washington 

Hon. Locke Craig, September 12, 1913. 

Governor of the State of North Carolina, 
Raleigh, North Carolina. 
My Dear Governor: — During my absence from the city yesterday Mr. Henry 
B. Varner, of Lexington, North Carolina, who stated that he represented your 
desire in the matter, called at my office with reference to the expenditure of the 
balance of the allotment for cooperative road improvement which has tentatively 
been made to the State of North Carolina. Mr. Varner stated that it was your 
desire that this balance ($30,000) be divided into three equal portions and ex- 
pended in three counties of your State with the view to completing as far as 
possible the road known as the Central Highway of North Carolina. Assuming 
that Mr. Varner's statements represent your wishes in this regard, and in view 
of his explanation of the extreme desirability of aiding in the completion of this 
important highway, I can see no reason why the remaining $30,000 of the Federal 
allotment should not be apportioned as above set forth; and if you will designate 
the roads on which you believe the improvement could be undertaken to the best 
advantage, I will request that inspections of them be made as promptly as pos- 
sible by an experienced road engineer of the Department of Agriculture. 

Sincerely yours, 

Jas. I. Blakslee, 
Fourth Assistant Postmaster General. 



State of North Carolina 
Executive Department 
Baleigh 
Hon. A. S. Burleson, September 30, 1913. 

Postmaster General, 

Washington, D. C. 
Dear Sir : — In accordance with the statute and ruling of the Federal Govern- 
ment authorizing me to designate roads in North Carolina on which $40,000 is 
to be expended, which amount has been apportioned to North Carolina, I desig- 
nate the following roads : 

1. The road between "Winston-Salem, via Mocksville to Statesville, $20,000. 

2. The road through the county of Davidson, known as the Central Highway, 
$10,000. 

3. The road from Swannanoa tunnel in the Blue Bidge, leading east of Marion, 
$10,000. 

I suggest $20,000 on the road between Winston-Salem, via Mocksville to States- 
ville, to be expended as follows : 

Eight thousand dollars in the county of Davie, of which Mocksville is the 
county seat; $6,000 in the county of Iredell, of which Statesville is the county 
seat, and $6,000 in the county of Forsyth, of which Winston-Salem in the 
county seat. 



HIGHWAYS 155 

All of these roads are used by great numbers of our people and when properly 
constructed will be of great benefit to the whole State. All of the sections through 
which these roads pass are ready to comply with the terms under which the 
Government appropriates this money. Yours truly, 

Locke Craig, 

Governor. 

Post Office Department 

Fourth Assistant Postmaster General 

Washington 

October 6, 1913. 
Hon. Locke Craig, 

Governor of the State of North Carolina, 
Raleigh, North Carolina, 
Sir : — Your communication of the 30th ultimo, designating certain roads in 
North Carolina for improvement under the cooperative project authorized by 
Congress, has been referred to me by the Postmaster General for special attention. 
It is noted that you designate three stretches of highway and request that an 
allotment of $40,000 be made for the proposed improvements. The sum of $40,000 
is the amount allotted to the State of North Carolina, but $10,000 of this sum 
has already been set aside, as suggested in your communication of May 1st last 
for the improvement of a road in Old Fort Township, McDowell County, thus 
leaving a balance of $30,000. I should be pleased if you would advise me as 
promptly and as much in detail as possible of the roads on which you recommend 
that this sum of $30,000 be expended. If possible, please indicate the termini of 
the highways and the towns through which the improved road would pass. 

Respectfully, 

J as. I. Blakslee, 
Fourth Assistant Postmaster General. 



State of North Carolina 

Executive Department 

Ealeigh 

October 9, 1913. 
Mr. James I. Blakslee, 

Fourth Assistant Postmaster General, 
Washington, D. C. 
Mt dear Sir : — In accordance with your letter of October 6th I have requested 
Mr. P. H. Hanes of Winston-Salem and Mr. BE. B. Varner, of Lexington, North 
Carolina, to give you a full description of the roads designated by me upon which 
the money appropriated by the Government is to be expended. 

Yours truly, 

Locke Craig, 

Governor. 



156 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIO 

(2) 
OLD FORT HIGHWAY 

Hon. P. H. Mashbuen, Asheville, 1ST. O, July 3, 1914. 

Old Fort, N. 0. 

My dear Sib: — According to my information the road commissioners of Old 
Fort contemplate using the road money to build the road from Old Fort to Greenlee, 
and if any of the money be left, to use this balance on the road from Old Fort 
to Henry. 

In my judgment this would be a decided mistake. 

If you build the road across the mountain, the Central Highway will then 
be opened from Morehead City to Asheville, and thousands of automobiles will 
pass through Old Fort. Every one of them will stop; some will stay a few hours; 
some a few days and as soon as you have sufficient accommodations at Old Fort, 
they will stay for weeks. The road from Old Fort to Greenlee is purely local, 
and while it will be of immediate benefit to the people living in that section, it 
will not result in the development of your community that would come from the 
opening of the Central Highway. I would never have designated the road from 
Old Fort to Greenlee for the $10,000 of Government money, for the reason that 
this road is local, and the road from Old Fort to Ridgecrest is a principal and 
indispensable part of the trunk line. If you build the road from Old Fort to 
Ridgecrest, the improvement of the other road will necessarily follow. I am 
interested for the reason that I wish the money to be used for the greatest benefit 
to your section, and for the people of the State generally. 

You doubtless recollect that, in my speech at Old Fort, I contended that the 
greatest benefit would come to Old Fort from the building of the road across the 
mountain. So far as I know this was the reason always given for the bond issue. 

I think that if you will consider the larger welfare that would come to the 
whole community, you would decide to build this road from Old Fort to Ridge- 
crest. If the road is not built now, when this government money is available, 
there is no telling when it will be built. I fear that the mistake would be serious. 

Please remember me to Mrs. Mashburn. 

With the highest regards, Yours sincerely, 

Locke Craig, 

Governor. 

State of North Carolina 

Executive Department 

Raleigh 

Hon. L. W. Page, July 16, 1914. 

Office of Public Roads, 

Washington, D. C. 
My dear Sir: — I understand that a contract is about to be made between the 
commissioners of Old Fort Township and the authorities of the Federal Govern- 
ment, providing for the building of the road between Old Henry and Greenlee 
in McDowell County. In my opinion the contract should provide for the road 
from Swannanoa Gap, eastward through Old Henry to Old Fort and to Greenlee, 



HIGHWAYS 157 

provided the funds be sufficient. It would be a great mistake not to provide for 
the building of the road on the side of the Blue Ridge. This road as you know, 
is a part of what is known as the Central Highway, and whenever the portion over 
the Blue Eidge shall be completed all other links in the Central Highway will 
be assured so that automobiles can pass from the eastern to the western part of 
the State across the mountains. This link from Old Fort to Swannanoa Gap, 
the top of the Blue Bidge, is the most important link in the Central Highway 
now unprovided for, and about the only link in the Central Highway that is 
unprovided for. 

I would never have designated the road from Henry Station to Greenlee for 
the expenditure of ten thousand dollars of Government money. That is a local 
road for a small community. But whenever the link from Old Fort, through 
Old Henry to the top of the mountain (Swannanoa Gap) is completed, the whole 
road at once becomes a through highway and will contribute immensely to the 
advantage of Old Fort Township and of the whole community. 

I do not insist that the road on the side of the Blue Ridge must be a first- 
class standard highway, but I do earnestly insist that it should be provided for 
in the contract. The road for the expenditure of this Government money should 
be useful to the community, but in my opinion no purely local road should be 
designated for the expenditure of this money. 

Yours very truly, 

Locke Craig, 

Governor. 

United States Department of Agriculture 

Office of Public Roads 

Washington, D. C. 

July 17, 1914. 
Hon. Locke Craig, 

Governor of the State of North Carolina, 
Raleigh, North Carolina. 
Dear Sir: — Your letter of July 16, relative to the post road in Old Fort Town- 
ship, is received. 

The entire road from Swannanoa Gap through Old Henry and Old Fort to 
Greenlee Station, is a part of the Central Highway. None of it is a good road, 
and the section which is impassable for automobiles is that between Old Fort 
and Old Henry. Many more people live along the road from Old Henry to Green- 
lee Station than along the road from Old Henry to Swannanoa Gap, and will be 
benefited to a much greater extent by the improvement of the former than of the 
latter, and we can more nearly comply with the spirit of the Act of Congress by 
improving the former than the latter. 

We have no letter from you indicating that the road should begin at Swan- 
nanoa Gap and extend to Old Fort or to Greenlee Station. The following para- 
graph from your letter to the Postmaster General of May 1, 1913, contains the 
only information we have relative to your designation of a road in Old Fort 
Township : 

"An election is to be held within a few days in Old Fort Township, in 
the county of McDowell, for the purpose of raising the ?20,000 mentioned 



158 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

in the correspondence. The road designated by me, in accordance -with the 
instructions of the Postmaster General, is located in the county of McDowell. 
The people of McDowell and that section of the State have gone to consider- 
able trouble and expense for the holding of this election. The failure of the 
Government now to furnish the $10,000 will be a gTeat disappointment to 
them. Relying upon the statements of the Postmaster General, I assured 
them that the $10,000 would be furnished by the Federal Government if 
they would provide the $20,000." 

The election of which you speak was held and the issue of bonds to the amount 
of $20,000 was authorized. In the election for the bond issue the people of the 
township understood that the section from Greenlee Station to Old Fort would 
be graveled and that the section from Old Fort to Swannanoa Gap would be 
graded. 

The present Township Highway Commission, when advised that sufficient 
funds were not available to build the entire road, recommended that the work of 
construction begin at Greenlee Station and proceed towards Swannanoa Gap as 
far as available funds would permit. 

Since the act creating the Commission gave it full control over the expendi- 
ture of the bond issue and the location and kind of road that should be built, and 
since we believe them to be right, plans for improving the road from Greenlee 
Station to Old Henry have been prepared, approved by the Old Fort Highway 
Commission and this office, and bids have been invited to be received July 25. 

We believe that if you will personally investigate this matter you will conclude 
that we have done what is best for the local community and the Central Highway. 

Very respectfully, 

Vernon M. Peikce, 

Acting Director. 



Asheville, 1ST. O, July 20, 1914. 
Hon. Vernon M. Peirce, 

Acting Director, United States Department of Agriculture, 
Office of Public Roads, 
Washington, D. C. 
My dear Sir : — This is in reply to your letter of July 17th. 
I am well acquainted personally with all of the road from Swannanoa Gap 
through Old Henry Station, through Old Fort to Greenlee. I have been over 
this road many times. I know the section, and I know the people. At the invita- 
tion of many of the leading citizens of Old Fort I took an active interest in the 
election for the bonds. I, and all others who took part in this election, assured 
the people that the principal purpose of the bond issue was to build a road from 
Old Fort to Swannanoa Gap. I know that the people voted the bonds on this 
understanding. I know too that it will be in disregard of the best interest of the 
people of that community to leave the road from Old Henry to Swannanoa Gap 
unprovided for. It would be in defiance of their wishes expressed before the 
election, and most emphatically expressed now. This road from Old Fort by Old 
Henry to the top of the mountain is one of the most important roads in the State. 
It would serve more people than any other one road in the State. It is a public 



HIGHWAYS 159 

necessity. It goes through a sparsely settled country. The opportunity to secure 
this road is now when we have $10,000 of the Federal money. If the authorities 
do otherwise than build this road, they will not represent the people, nor will they 
perform the proper public service. Yours truly, 

Locke Craig, 

Governor. 

United States Department of Agriculture 

Office of Public Roads 

Washington, D. C. 

Hon. Locke Craig, July 21, 1914. 

Governor of North Carolina, 
Asheville, N. C. 

Sir: — Your letter of July 20th is received. 

It is our desire, in improving designated post roads, to cooperate with the local 
community, and if we cannot build the entire road designated with the funds 
available, to build that portion which seems of greatest benefit to the community. 
This is what we intended in Old Fort Township when we prepared the plans for 
the section extending from Greenlee Station to Old Henry. 

The Township Commissioners, when the matter of Federal aid first came up, 
expressed themselves very definitely on this point, as shown by the inclosed copy 
of a resolution adopted by them September 11, 1913, at the time they set aside 
funds to cooperate with this Department; and again, when the project was ap- 
proved and contracts between Old Fort Township and the United States Depart- 
ment of Agriculture were prepared and presented to them to sign, they insisted 
that the contract should read "Beginning at the Marion Township line at Green- 
lee Station, and extending by way of Old Fort to the Buncombe County line, as 
far as available funds will permit" and it was so prepared and executed January 
16, 1914. 

But if the Highway Commissioners have changed their minds and now wish 
the work to begin at Kidgecrest, we are willing to do so but regret that we shall 
have lost so much time in preparing plans for the Greenlee end. 

Very respectfully, 

Vernon M. Peirce, 

Acting Director. 

Asheville, 1ST. C, July 23, 1914. 
Mr. P. H. Mashburn, 

Chairman of the Road Commission, 
Old Fort, N. C. 
My dear Sir : — Has the Highway Commission changed its attitude toward the 
road from Old Henry to the top of the mountain? I earnestly hope that you will 
never sign a contract that will not provide for the road from Old Henry to the top. 

Yours sincerely, 

Locke Craig, 

Governor. 



160 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Old Fort Township Highway Commission 

Governor Locke Craig, Old Fort, 'N. O, July 28, 1914. 

Asheville, N. C. 
Dear Sir: — Your letter of July 23d received. Bids on the building of this 
link of the Central Highway were received July 25th. Mr. Voshell, from the 
Office of Good Eoads at Washington, was present and agreed to the extension of 
the grading of the road from Old Henry to the top of the mountain. This 
proposition meets the approval of the Highway Commissioners, also the approval 
of the citizens who were objecting to the original plans. So far as we know, this 
is satisfactory to all parties. Dr. Pratt was here on the 24th, and we went over 
the matter with him and he said that if the people of the township were satisfied 
he would make no further protest. Under this plan we can open the road from 
Greenlee to Eidgecrest. 

We received some very satisfactory bids on the work, and it was agreed that 
the contract be signed this week. We have worked very hard on this matter, and 
believe that the people will be satisfied, and we hope it will meet your approval. 

Yours very truly, 

P. H. Mashburn, 

Chairman. 



Mr. P. H. Mashburn, Asheville, 1ST. C, August 12, 1914. 

Old Fort. N. C. 

My dear Sir : — Your letter of July 28th has just been called to my attention. 
I am gratified to know that you have made arrangements to complete the road up 
to Ridgecrest. 

I saw Dr. Pratt yesterday, and he told me that you intended to' call a meeting 
of the citizens of Old Fort to ascertain their wishes as to where the work should 
begin. This is my recollection of his conversation. As you know, I have always 
regarded the road from Old Fort to Eidgecrest as the most important part of the 
road. It will benefit your community more, and it will benefit the State by the 
completion of this important link in the Central Highway. You say in your 
letter that you have made arrangements to open the road from Greenlee to Eidge- 
crest. I understand that you have not money enough to grade this entire road. 
Will you please let me know where you expect to begin work at first? 

I was sure that you would all come to a satisfactory conclusion, because I 
know that we all have the same purpose in the road. 

With best wishes, Yours sincerely, Locke Craig, 

Governor. 

Old Fort Township Highway Commission 

Governor Locke Craig, Old Fort, !N". O, August 17, 1914. 

Raleigh, N. C. 
Dear Sir: — I am in receipt of your letter of August 12th, and in reply to 
same I beg to say that the Government engineer has estimated that we will have 
money enough to grade the road from Greenlee to Eidgecrest. The contractor 



HIGHWAYS 161 

is beginning work at Old Fort, working toward Eidgecrest with a steam shovel 
outfit, also at Greenlee, with teams, road machines, etc., working toward Old 
Tort. Our first plan was to gravel the road from Greenlee to Old Fort. After 
our bids were all received we found we could not gravel any of the road and 
grade the road to Eidgecrest, so we decided to eliminate the gravel in order to get 
the road graded through the township. This plan met the approval of those who 
were objecting to the graveling before the grading was done to Eidgecrest. After 
this plan was agreed upon it was not necessary to call a meeting of the citizens, 
as Dr. Pratt suggested when he was here. The bridges along the line are being 
built. The road from Greenlee to Old Fort follows the old road most of the way, 
with bridges at Greenlee and Curtis Creek. There are no changes through the 
J. B. Burgin farm, except widening the road at a few places. 

I am writing Dr. Pratt in regard to our plans. 

Mamie joins me in sending our regards to you and your family. 

Yours very truly, 

P. H. Mashburn, 

Chairman. 

Old Foet, 1ST. O, September 11, 1913. 

At a special meeting of the Highway Commissioners of Old Fort Township, 
McDowell County, North Carolina, the following resolutions were adopted: 

In the matter of Federal aid for post road improvement it is hereby 
ordered that the road from Marion Township line at Greenlee Station via 
Old Fort, Round Knob and Koonce's Gap to the Buncombe County line, be 
hereby designated as the road to be improved. 

In the event that the joint fund will not be sufficient to complete the 
grade and surface the entire distance designated, it is the desire of the 
Highway Commissioners that the portion of the route from Marion Town- 
ship line at Greenlee Station to Old Fort be graded and surfaced with either 
sand-clay or gravel, and that the remainder of the joint fund, after deduct- 
ing for this work, be expended in grading and draining the section from 
Old Fort to the Buncombe County line. 

It is further ordered, that, upon the final approval of this project, the 
sum of twenty thousand (520,000) dollars the proceeds of a recent bond 
issue, be set aside for this improvement, to be deposited to the order of the 
Secretary of Agriculture and to be expended under the provisions of the act 
making appropriations for the service of the Postoffice Department for the 
fiscal year ending June 30, 1913. 

Inasmuch as the Highway Commissioners have delayed the sale of the 
bonds until definite information could be obtained regarding the approval 
of this project, it is further ordered that, in the event the local guarantee 
is required before funds have been realized from the sale of the said bonds, 
the Highway Commissioners arrange to borrow the amount of the local 
guarantee from the banks of said county as an advance on the sale of the 
honds. (Signed) P. H. Mashbtjrx, 

Chairman, 

Attest: 

F. M. Bradley, 

Secretary. 

11 



162 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(3) 

MISCELLANEOUS CORRESPONDENCE IN REGARD TO OBTAINING 
FEDERAL AID FOR DAVIDSON AND DAVIE COUNTIES 

Mocksville, K C, February 26, 1914. 
Hon. Locke Craig, Governor, 

Raleigh, N. C. 
Dear Sir: — With reference to the highway to be built in Davie County, con- 
necting the good roads of Forsyth and the good roads of Iredell County, and for 
which you desire some definite information as to the location of the road, as I 
understand, will say that the Board of Road Commissioners of Davie County 
have definitely decided to build the road as follows: 

Beginning at the Forsyth County line at the proposed new bridge at Hall's 
Ferry, and following, as near as may be practical, the public road from that point 
to Mocksville, thence from Mocksville to the Iredell County line near the village 
of County Line, following the public road as near as may be practical to that 
point. 

The distance across Davie County from the starting point on Forsyth line, 
via Mocksville to Iredell County line, is about 23 miles. The Board have defin- 
itely decided to build a good sand-clay or top-soil road, not exceeding at any 
point over 4 per cent grade, connecting with Forsyth County on the east and 
Iredell County on the west. 

If any other information is required we shall be glad to furnish it at once. 

Yours truly, 

J. F. Moore, 
Clerk of the Board of Road C ommissioners. 



Winston-Salem, 1ST. C, March 5, 1914. 
Hon. Locke Craig, Governor, 

Raleigh, N. C. 

Dear Sir: — The Joint Good Roads Committee for the counties of Forsyth, 
Davie, and Iredell for the construction of the Central Highway have definitely 
decided upon the location of the proposed highway through the above named 
counties. 

The route decided upon will begin at the Guilford line, and run thence through 
Kernersville and Winston-Salem, in Forsyth County, to the Davie County line 
on the Yadkin River at the point where the new steel bridge is to be built across 
said river, costing $31,000, running thence by way of Farmington to Mocksville : 
and from Mocksville, by way of Callahan, to the Davie and Iredell line at a point 
called County Line ; thence on to Statesville, and through Statesville to the 
Catawba County line at the Buffalo Shoals steel bridge, a bridge which cost 
$20,000. The proposed line runs 26 miles through Forsyth, 27 miles through 
Davie, and 26 miles through Iredell. It passes through all of the important 
cities and towns in the above named counties, runs through the most thickly 
populated rural sections of said counties, and accommodates more rural mail 
routes than any other line that could be selected through the above named coun- 



HIGHWAYS 163 

ties. It is the best and shortest route that could be selected, and we believe it 
will give entire satisfaction to the people of all the above named counties, and 
in our opinion it is the best and most satisfactory line for a highway running 
from the coast to the mountains. 

The road through all three of these counties will be of modern construction, 
built of sand-clay or macadam, and of uniform width of 30 feet roadbed, with 
proper and sufficient drains. The bridges will all be high-class steel bridges of 
sufficient width. 

In the selection of this line the committee has selected a route on which there 
is an abundance of suitable road material for the sand-clay and the macadam 
work. A portion of this work has already been built, and the balance will be 
pushed as rapidly as first-class construction will permit, upon receipt of the funds 
which the United States Government proposes to contribute toward the construc- 
tion of this line. Our people are enthusiastic over the construction of the Central 
Highway and are anxious to get to work at it as soon as possible. The line above 
selected through each of the above named counties follows in the main the oldest 
established roads in said counties. 

The County Commissioners and Eoad Commissions of each of the above 
named counties have already agreed to contribute their proportion of the cost for 
building the above named line, have the money on hand for their respective pro- 
portion for that purpose, and are ready to pay over the same for the construction 
of the road. Respectfully yours, 

P. H. Hanes, 
Chairman of Committees. 



State of North Carolina 
Executive Department 
Raleigh 
Hon. James I. Blakslee, March 9, 1914. 

Fourth Assistant Postmaster General, 
Washington, D. C. 
My dear Sir : — In answer to your letter of March 6 th I will say : 
The road from Mocksville to Statesville may be fifty-two miles long, but by 
far the larger part of this road is already improved, and the amount apportioned 
by you from the Government appropriation, together with what money local 
authorities propose to spend on this road, would make the whole a splendid high- 
way in the most traveled section of our State. 

According to the original plan under which this Government appropriation 
was to be expended, it was required that fifty miles of continuous road be desig- 
nated for the expenditure of the Government money. In view of these facts the 
withdrawal of the money for the road between Mocksville and Statesville seems 
to me altogether unjustifiable. I hope, therefore, that you will reconsider and 
allow these people to have the money on which they have been depending with 
confidence. The withdrawal would in my opinion, give them just cause for 
complaint. 

As to delay, it is clear to my mind that there was some confusion in the 
department at "Washington. Mr. Hanes, of Winston-Salem, wrote me that he 
designated and specifically described the road to the Postoffice Department several 



164 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

months ago as requested by me. Besides, the winter months are not an advan- 
tageous time in which to work the roads. Now that the spring is opening, I hope 
that you will not disappoint the people of North Carolina by withdrawing from 
them the advantages to which they are entitled under the bill appropriating this 
money. Yours truly, 

Locke Craig, 

Governor. 

State of North Carolina 

Executive Department 

Raleigh 

March 17, 1914. 
Mr. James I. Blakslee, 

Fourth Assistant Postmaster General, 
Washington, D. C. 
Dear Sir : — I approve the road specifically described by Hon. H. B. Varner, 
in Davidson County, for the expenditure of ten thousand dollars of the money set 
apart by the Federal Government for the State of North Carolina, to be expended 
on post roads. 

The road herein referred to is that from the Guilford County line via Thomas- 
ville to Lexington, and on to the Rowan County line. It is known as that part 
of the Central Highway lying in Davidson County. 

Yours very truly, 

Locke Craig, 

Governor. 

Post Office Department 
Fourth Assistant Postmaster General 

Washington, March 18, 1914. 
Hon. Locke Craig, 

Governor of the State of North Carolina, 
Raleigh, North Carolina, 
My dear Governor Craig : — I beg to acknowledge the receipt of your com- 
munication of the 17th instant indicating your approval of a road in Davidson 
County, North Carolina, for approval under the cooperative project authorized 
by Congress, and to state that an inspection of the highway in question will be 
made as promptly as possible by a road engineer of the Office of Public Roads, 
Department of Agriculture. On receipt of his report, you will be further advised. 

Yours very truly, 

Geo. C. "Wood, 
Acting Fourth Assistant Postmaster General. 



HIGHWAYS 165 

(4) 

APPOINTMENT OF COMMISSIONERS FOR VARIOUS TOWNSHIPS 
IN MCDOWELL COUNTY 

State of North Carolina 
Executive Department 
Raleigh 
Me. A. Blanton, May 27, 1913. 

Mr. B. L. Ashworth, 
Mr. George Carson, 

Marion, N. C. 
Gentlemen : — By the power conferred upon me by the last Legislature and 
in pursuance of the recent election in Marion Township, I have appointed the 
following as Road Commissioners: 

A. Blanton, 

B. L. Ashworth, 
George Carson. 

The commissions will be duly issued. 

Tours truly, 

Locke Craig, 

Governor. 

State of North Carolina 
Executive Department 
Raleigh 
Mr. P. H. Mashburn, May 27, 1913. 

Mr. Fred Bradlet, 

Old Fort, N. C. 
Gentlemen : — Under the power conferred upon me by the last Legislature 
I have appointed Road Commissioners for Old Fort Township : Hugh A. Tate, 
P. H. Mashburn and Fred Bradley. 

I inclose you a copy of a letter which I have received from Senator Simmons, 
which explains itself. Your commissions will be duly issued. 

Yours truly, 

Locke Craig, 

Governor. 

United States Senate 
Committee on Finance 

Hon. Locke Ceaig, Washington, May 23, 1913. 

Executive Office, 

Raleigh, N. G. 

My dear Governor: — Again referring to your recent letter, I beg to say 
that I have had the matter of the Federal appropriation for public roads in 
our State up with the Department for some days, and at my request Mr. 
Page, the Director of Public Roads, has put in writing the following informa- 
tion with reference to the appropriation for this purpose: 



166 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

"Forty thousand dollars of Federal money has been tentatively 
allotted to North Carolina for this purpose. The local subdivision 
of the State must furnish double the amount supplied by the Fed- 
eral Government. The money appropriated by the local subdivision 
is generally best deposited in the hands of a local trustee, to be dis- 
bursed on the order of the duly qualified representative of this Office. 
It probably would be convenient and satisfactory to make a national 
bank the trustee. The engineering work is to be done by this Office, 
and one of our engineers will be in immediate charge of the con- 
struction. No convicts will be permitted to work on the road, and 
the laborers will be permitted to work only eight hours a day on 
such road." 

With high personal regard and best wishes, I am, 

Very truly yours, 

F. M. Simmons. 

State of North Carolina 
Executive Department 
Raleigh 
Mr. J. W. Pless, May 27, 1913. 

Mai-ion, N. C. 

My dear Will : — I have just received your letter of the 25th. I have appointed 
for Commissioners of Marion Township : 

A. Blanton, Chairman. 

B. L. Ashworth, 
George Carson. 

For Old Fort Township I have appointed : 
Hugh A. Tate, 
P. PL Mashburn, 
Fred Bradley. 
Write me about ISTebo. 

Your friend, 

Locke Craig, 

Governor. 



Old Fort, K O, May 19, 1913. 

Governor Locke Craig, 

Raleigh, N. C. 
Dear Sir: — As you have previously been advised, our bond issue was voted 
by a large majority. ISTot knowing whether you have selected the men whom you 
wish to appoint as road commissioners to handle the funds, and thinking, per- 
haps, you would like to receive some suggestions, we, the undersigned citizens 
respectfully submit for your consideration, the following names, to wit : 

P. H. Mashburn, 
J. S. Bradley, 
L. B. Moore, 
Hugh A. Tate, 
J. F. Harmon. 



HIGHWAYS 167 

These are all good, sound business men, good roads enthusiasts and men who 
could be depended upon to use the money judiciously and to the best advantage. 
If you desire any further information, we would be glad to furnish same. 

Yours very truly, 

S. F. Maunet. 

I. H. Greene. 

"W. J. Souther. 

D. M. McIntosh, M.D. 

J. M. Mashburn. 

F. M. Bradley. 

Jas. K. Cowan. 



State of North Carolina 

Executive Department 

Raleigh 

June 11, 1913. 
Road Commissioners for Nebo Township appointed : 

J. L. Padgett, 
T. M. Hemphill, 
W. G. Hunter. 

Note. — The commissioners were nonpartisan. 

Note. — As a result of the interest in the road across McDowell County, it was nearly 
completed during Governor Craig's administration to the top of the Mountain at Swan- 
nanoa Gap, and represents one of the finest mountain highways in the United States. 

It was found after the township had voted its money, and the Government had appro- 
priated ten thousand dollars that this was not sufficient to construct the road to the top 
of the mountain. Governor Craig was instrumental in having the bill passed by the 
General Assembly of 1915 authorizing the use of State prisoners in completing the road 
from Old Henry to Swannanoa Gap. Without the assistance of the State in this way, it 
would have been impossible to have completed the road. The reason for the Governor's 
active interest in this road was that it was a very important link in the State Highway 
(Central Highway) extending from Morehead City to the Tennessee line, and all the 
people of the State were interested in its construction. When this road is completed it 
will probably have more travel than any other road in the State. 

During the administration of Governor Craig more miles of improved highways were 
built than in the entire previous history of North Carolina. Up to 1913 the State had 
only built 5,000 miles of improved highways; during Governor Craig's administration a 
total of 10,000 miles have been built, making a total of 15,000 miles of public highways in 
the State of North Carolina. 



(V) 
PAROLE OF STATE'S PRISONERS 



PAROLE OF STATE'S PRISONERS 

1. Letter from the Governor authorizing the parole of all trusties for three 
days at Christmas, and three days holiday to all of the State's prisoners, from 
December 2J+th to December 26th, inclusive. 

2. Reports of the sheriffs, in compliance with the Governor's request, of pris~ 
oners paroled, and prisoners given a holiday. (See note.) 

3. Parole of State's Prisoners, Christmas, 1916. 

4. Reports of Sheriffs on Results of Parole. 



Note. — These reports of the sheriffs show that hundreds of the State's prisoners were 
released on parole and allowed to go to their homes to spend Christmas, some of them 
serving life terms. All returned but two. One of these ran away and the other was 
delayed on account of desperate illness. Nearly every one wrote to the Governor upon 
his return to captivity, expressing heartfelt appreciation and gratitude for his clemency. 
Their letters are on file in the Governor's office. 



(1) 

LETTER FROM THE GOVERNOR AUTHORIZING THE PAROLE OF ALL 

TRUSTIES FOR THREE DAYS AT CHRISTMAS, AND THREE DAYS 

HOLIDAY TO ALL OF THE STATE'S PRISONERS, FROM 

DECEMBER 24TH TO DECEMBER 26TH, INCLUSIVE 

State of ISTorth Carolina 

Executive Department 

Raleigh 

December 22, 1915. 
To the Superintendent of the State's Prison, 
The Sheriffs of the Counties of North Carolina, and 
To the Officers in charge of Convict Camps and Forces. 

Greetings : — You are hereby authorized and requested to allow each and every 
prisoner who is and has been a trusty for ten days prior to this date to return to 
his home or other place chosen by him, and to remain away from the camp or 
prison during Friday, Saturday and Sunday, the 24th, 25th, and 26th of Decem- 
ber, provided such trusty pledge his honor and satisfy the officer in charge that 
he will return by twelve o'clock on Monday, December the 27th. 

You are further authorized and requested to give to all of the prisoners in your 
charge a holiday on Friday, Saturday and Sunday, the 24th, 25th, and 26th of 
December. 

You are furthermore directed and requested to report to me on or before the 
first day of January your action in accordance herewith and the results, and the 
names and conduct of each prisoner paroled. Locke Craig 

Governor. 



(2) 

REPORTS OF THE SHERIFFS, IN COMPLIANCE WITH THE GOV- 
ERNOR'S REQUEST, OF PRISONERS PAROLED, AND 
PRISONERS GIVEN A HOLIDAY 

The State's Prison 

Governor Locke Craig, Raleigh, 1ST. C, December 31, 1915. 

Raleigh, N. C. 

Dear Sir : — I have the honor to report that in obedience to your directions all 
of the prisoners in the State Penitentiary were given three days holiday. 

At the Central Prison we had but one man who was considered a trusty. He 
expressed his gratitude for the opportunity of visiting his home, but declined to 
go and spent his time in and around the prison without any restriction. 



172 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

At the State Farm, Camp No. 1, in charge of Captain Christian, there were 
fourteen trusties who took advantage of the opportunity to go home and visit their 
families. All but two returned on time. Those two were delayed by failing to 
make connection and did not arrive at the camp until 9 o'clock Tuesday morning. 

At Camp No. 2, in charge of Captain Rhem, there were nine who visited their 
families, all of whom returned promptly on time. 

At Ridgecrest, in charge of Captain Watson, there were six paroled ; three of 
them visiting their families and the other three spending the day in Asheville. 
All returned promptly on time. 

At Bat Cave camp, in charge of Captain Stanley, there were seven paroled. 
All visited their families and returned promptly on time. 

At Statesville camp, in charge of Captain Gaither, there were four paroled. 
They lived too far away to visit their families, but spent the day in the county 
and returned on time. 

At the Elkin and Alleghany camp, in charge of Captain Ewing, there were 
two paroled. They lived too far away to visit their families, and spent the day 
in Elkin and returned to the camp on time. 

At the Whitney camp, in charge of Captain Busbee, there were four trusties, 
but only one took advantage of the opportunity to go home. He returned promptly 
on time. 

At the Watauga camp, in charge of Captain Hight, there was only one trusty, 
and as it was too far for him to go home, he spent his time in and around the 
camp. 

At the Madison County camp, in charge of Captain Peoples, there was no 
trusty, hence none paroled from this camp. 

The total number of prisoners paroled and who took advantage of the oppor- 
tunity to leave camp was forty-three, and as stated above, they all returned and 
are now at work. 

Those of them who visited their families expressed themselves as having had 
a very Merry Christmas, and all of them expressed their thanks to you for the 
confidence that you had in them. 

Respectfully submitted, 

E. F. McCulloch, 

Clerk. 

Hon. Locke Craig, Thurmond, N. C, December 27, 1915. 

Raleigh, N. C. 
Dear Governor: — As you requested, Joe Cotton and Alvin Edmonds, trusties 
at my camp were given the privilege to go home or to any other place they wished. 
Their home was so far from camp they could not get back in time, so they decided 
to go to Elkin Christmas day and spend the day. They said that was the only 
day they wanted unless they could go home and get back in time. I gave them 
new citizens' clothes. They said they certainly enjoyed the day off. They both 
came back. Very respectfully, 

K B. Ewing, 

Supervisor. 



PAROLE OF STATE'S PRISONERS 173 

Governor Locke Craig, Wadesboro, N". C, December 30, 1915. 

Raleigh, N. C. 

Dear Sir : — I am writing you about my convicts. All came back except one, 
Jesse Young, and he is unable to get back. Tom Flake (white), Jesse Price 
(white), Melton Tellmon (colored), Archie Davis (colored), Sam Rorie (colored), 
Jean Wright (colored), Dave Covington (colored), Carson McGlothin (colored), 
Jim Martin (colored), Pickett Liles (colored), Shelton Broadaway (colored), Will 
Benett (colored). 

They all came back on time. M. B. Howell, 

Superintendent of Roads of Anson County. 

State of North Carolina 
Bertie County 

To His Excellency, Locke Craig, Governor: 

Agreeable to an order and request made by you bearing date of 22d day of 
December, 1915, to allow certain trusty prisoners to return to their respective 
homes and remain away from the prison camp during the 24th, 25th, and 26th 
of December : I beg leave to report that I permitted the following prisoners under 
my control to go to their respective homes on the 24th day of December, to wit: 
Frank Williams, Charlie Moton, Eufus Cherry, William Cherry, Governor Gillam, 
Harrison Pellman ; and that all of them reported on Monday, the 27th of Decem- 
ber, to resume work at the hour named for their return. I further report that so 
far as I have been able to learn their deportment was good during the time they 
were away from the camp. 

This December 30, 1915. W. T. Hichstall, 

Superintendent of Roads, Windsor Township, Bertie County. 

[Telegram] 

Hon. Governor Locke Craig, Asheville, K C, December 27, 1915. 
Raleigh, N. C. 

Thirty-five trusties spent Christmas at home. All returned today at twelve 
o'clock. W. E. Johnson. 

His Excellency, Locke Craig, Morganton, K C, December 27, 1915. 

Governor of North Carolina, 

Raleigh, N. C. 

Dear Governor : — I have the honor to report that, pursuant to your communi- 
cation of date December 22, 1915, I released from custody on December 24th, 25th, 
and 26th, the following trusties: John Butler, William Butler, Claude Beck. 

I desire also to report that each of the above-named prisoners returned to me 
this day, and I desire to say that their conduct has been above suspicion and each 
of them desires to return to you their many, many thanks for this liberty. 

Respectfully, 

F. C. Berry, 
Sheriff of Burke County. 



174 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

His Excellency, Locke Craig, Concord, BT. C, December 28, 1915. 

Governor of North Carolina, 
Raleigh, N. C. 
Dear Sir: — In accordance with, your request of December 22, every prisoner 
who had been a trusty for ten days prior to the date of your letter was allowed to 
return home and remain away from the camp during Friday, Saturday and Sun- 
day, the 24th, 25th, and 26th of December. 

The following prisoners were paroled : Eobert Alexander, Robert Scott, Ernest 
Alexander, Van Surratt, Toots Ellis, and Sam Sibley. The conduct of all of them 
was good and all appeared back at the camp on Sunday evening ready for work 
Monday morning. Yours truly, 

H. "W. Caldwell, 
Sheriff Cabarrus County. 

Yanceyville, 1ST. C, December 29, 1915. 
Hon. Locke Craig, Governor, 

Raleigh, N. C. 

Dear Sir : — I didn't have in hand any prisoners who were trusties, and the jail 
is now empty. Yours truly, 

T. 1ST. Fitch, 
Sheriff of Caswell County. 

Governor Locke Craig, Shelby, N. C, December 27, 1915. 

Raleigh, N. C. 
Dear Sir: — In regards Cleveland County prisoners, I have twenty-four pris- 
oners, and nine of them are trusties. I let all go Friday morning at 8.30 o'clock, 
and all were back at the appointed time but two, and their time expired Decem- 
ber 26. John W. Norman, 

Superintendent. 

Hon. Locke Craig, Governor, New Bern, KT. C, December 29, 1915. 

Raleigh, N. C. 
Dear Sir : — I released from county jail, Friday, J. H. Fisher, colored, and 
Annie Spencer, also colored. Both reported Monday at 12 o'clock. Their behavior 
was good. B. B. Lane, 

Sheriff Craven County. 

Hon. Locke Craig, Durham, N. C, January 3, 1916. 

Governor of North Carolina, 
Raleigh, N. C. 
Dear Sir : — I beg leave to report that, according to your instructions issued to 
the Sheriff of Durham County, I allowed to go home and spend three days at 
Christmas, twenty-three trusties, all of whom returned at the specified time. They 
expressed themselves as having enjoyed their holidays to the fullest extent. 

Very respectfully, J. M. Pollard, 

Road Superintendent, Durham County. 



PAROLE OF STATE'S PRISONERS 175 

Hon. Locke Ceaig, Durham, 1ST. C, December 28, 1915. 

Governor of North Carolina, 
Raleigh, N. C. 
Dear Sir : — I beg leave to report that, according to your instructions issued to 
the Sheriff of Durham County, I allowed to go home and spend three days at 
Christmas, four trusties. All returned at the specified time. 

Very respectfully, E. D. Couch, 

Superintendent County Rome. 

Hon. Locke Craig, Governor, Louisburg, K C, December 31, 1915. 

Raleigh, N. C. 
Dear Sir : — We submit the following report on convicts allowed to spend the 
Christmas holidays at their homes : C. H. Williams, William Weal, Jesse Anderson, 
Bob Yarboro, John Winston, Larkin Smith, Will Hart, and Luther Hicks were 
allowed to go home. They reported back for duty at the proper time, all seeming 
to appreciate the holiday very much. George Royster, living near Townsville, 
Vance County, was also allowed to go home and did not return. Will Leonard 
came back one day late very drunk, and had to be confined again. 

Very respectfully, C. M. Vaughan, 

Superintendent, Louisburg Township Roads. 

To His Excellency, Governor Craig, 
Raleigh, N. C. 

Dear Sir : — Pursuant to your order to give trusties a leave of absence for 
Christmas and allow other prisoners four days of rest, I beg to say that your order 
was strictly carried out. All the prisoners reported back at the time appointed. 
William Allen, Green Evans, Eobert Richardson (negroes) behaved all right. 
Ephraim Mangum (white) got a little drammy, but was not arrested and did no 
harm. 

The other prisoners remained in custody and seemed to enjoy their Christmas 
rest. Respectfully, R. A. Jones, 

Manager Road Force, Granville County. 

Governor Locke Craig, Greenville, 1ST. C, December 28, 1915. 

Raleigh, N. C. 
Dear Governor: — The road superintendent stated today that all the trusties 
that were given the privilege of going home through the holidays returned to work 
highly pleased and with a new spirit. Very sincerely, 

S. J. Everett. 

Governor Locke Craig, Greensboro, 1ST. C, December 30, 1915. 

Raleigh, N. C. 
Dear Sir: — The following prisoners, by your order, I allowed to go to their 
homes during Christmas. They all returned promptly and, as far as I know, con- 
ducted themselves properly during their absence : John Wade and Allen Newton 
(white), Jim Jackson, Ernest Curley, Will Beety, and Hazel Freese. 

Respectfully, G. W. Hiatt. 



176 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Hon. Locke Craig, Governor, Statesville, K O, December 23, 1915. 

Raleigh, N. C. 

My dear Governor : — As per your order and request, I released six trusties — 
all we had — during Friday, Saturday, and Sunday. They were very thankful to 
you for making this order. All of them, so far as I have been able to learn, con- 
ducted themselves honorably during this time and returned to the camp Monday 
before 12 o'clock. On behalf of the prisoners and myself I want to thank you for 
making this order. I am a great believer in the parole system. 

Hoping you and your family had a merry Christmas and wishing you a happy 
New Year. Yours to serve, J. M. Deaton, Sheriff. 

His Excellency, Governor Craig, Trenton, rj. C, December 23, 1915. 

Raleigh, N. C. 

Dear Sir : — I am thankful to report hat Jones County has no prisoners. 

Yours truly, J. S. Harqett, Sheriff. 

Hon. Locke Ceaig, Clayton, N. C, December 31, 1915. 

Governor of North Carolina, 
Raleigh, N. C. 
My dear Sir : — In accordance with your request, I let the trusties in my charge 
go home Christmas. Two returned Sunday afternoon, the other returned Monday 
morning. One whose sentence expires on the 2d day of January, 1916, did not 
care to go. All asked me to return their thanks to you, and, judging from their 
actions, they certainly did appreciate the favor. Eespectfully, 

L. H. Champion, 
Chairman Board Road Supervisors, Clayton Township. 

Hon. Locke Craig, Kjnston, 1ST. C, December 28, 1915. 

Raleigh, N. C. 
Dear Sir: — Your letter of December 22d received, and I have complied with 
your orders. We liberated six trusties on the 23d, and they all returned the follow- 
ing Monday morning and seemed to be well pleased. 

Yours truly, A. W. Taylor, 

Sheriff Lenoir County. 

Hon. Locke Craig, Governor, Nashville, K C, December 30, 1915. 

Raleigh, N. C. 
Dear Sir : — I beg to submit report of our convicts who were paroled on Decem- 
ber 24th, 25th, and 26th. I am glad to say that all who received parole reported 
back to camp on time Monday, the 27th, with good conduct, and those who received 
only holiday conducted themselves very satisfactorily to the officer in charge. All 
of the convicts seemed to appreciate your kindness very much. I think this was a 
wise proclamation, and that it will have its influence as to the conduct and behavior 
of all convicts. Yours very truly, N". C. "Warren, Sheriff. 

By T. W. Marchland, Deputy. 



PAROLE OF STATE'S PRISONERS 111 

Goveenoe Locke Ckaig, Smithfield, N. C, December 30, 1915. 

Raleigh, N. C. 

My dear Sik: — I hereby submit the following report of convicts under my 
control at the camps of the Smithfield Township roads : Ed. Young (white) and 
Ed. Eand (colored) went home the 24th and came back the 27th, as told to do. 
Jack Beasley (white), Ed. Pittman and Jake Spruill (colored) had the liberty to 
go around where they wished. Each one went over to Smithfield and visited some, 
but came back at night and seemed to enjoy his liberty. I gave all the prisoners 
a Christmas dinner and some fruit and confectioneries. I have twenty on the road 
force in this township — five white men and fifteen negroes. 

"With best wishes to you and the hope that the New Year may be the brightest 
and best to you and yours. Your friend, Geoege L. Jones, 

Superintendent Smithfield Township Roads. 

Hon. Locke Ceaig, Halifax, ST. C, December 29, 1915. 

Governor of North Carolina, 
Raleigh, N. C. 

Deae Sie : — I fail to find words of sufficient force to express my most sincere 
thanks for your kindness in granting me leave to spend Christmas with loved ones. 
The news came to me as though heralded from heaven itself. I am sure that the 
fact that on the eve of the most merry time of the year you were thinking of the 
prisoner and pondering in your mind just how you could make his lot more bear- 
able. You must have had an inspiration superhuman. 

There was some speculation as to whether those that went would return or not. 
Those that went from this camp were faithful to their trust. Speaking for myself, 
I would have suffered almost to have given an arm before I would have betrayed 
the confidence. 

Again thanking you for the kindness, I am, 

Your humble servant, W. A. Jones. 

Caledonia Faem. Home : High Point, W. C. 

"Walnut, 1ST. C, January 4, 1916. 
Hon. Locke Ceaig, Governor. 

Deae Sie : — In reply to your order for the prisoners to have holiday for Christ- 
mas, I gave them all the days required by you. I have only two trusties, and they 
were back on time. Their behavior was excellent. The trusties are Charley John- 
son and Ashley Sawyers. Yours truly, Eobeet Tweed, 

Superintendent Madison County Convict Camp. 

Buegaw, 1ST. C, December 28, 1915. 
To His Excellency, Locke Ceaig, Governor, 

Raleigh, N. C. 
Deae Sie : — As per your authority and request of the 22d inst., I beg leave to 
advise that I allowed the following to return home Friday to spend the holidays, 
viz. : E. IT. Orr, H. F. Euss and W. T. ISTixon. I am glad to report that they all 
came back on time Monday, seemingly with very grateful hearts. 

Very truly yours, W. E. Atkinson, 

Sheriff Pender County. 
12 



178 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Middlesex, N". C, December 29, 1915. 
Hon. Locke Craig, Governor. 

Dear Sir: — I will answer your request advertised in the News and Observer 
concerning the convicts' holidays for Christmas. 

I, road superintendent of Dry Wells Township, Nash County, obeyed your 
request. I have only a small force of nine convicts. Two were trusties, whom I 
had sworn by an officer and let go home. They both returned on Monday morning. 

We are getting along fine with our road work. We have all the roads worked 
in the township except four miles. 

Thanking you for the holidays for the convicts, I remain, 

Yours truly, 1ST. D. Whitfield, 

Road Superintendent. 

_ _,. _ T _ Wilmington, 1ST. C, December 28, 1915. 

To His Excellency, Locke Craig, 

Governor of North Carolina, 

Raleigh, N. C. 

Dear Sir : — In compliance with instructions contained in last paragraph of 

your letter of December 22, I have the honor to present to you herewith the names, 

the sentences and the conduct of the trusties who were paroled during the holidays 

from this institution. 

Names Sentences Conduct 

Oliver Wade 12 Months Good 

Son Darling 5 Years Good 

Emanuel Pierce 5 Years Good 

Moses Sharpless 2 Years Good 

Randolph Williamson 13 Months Good 

Archie H. Melton 12 Months Good 

George Frieson 12 Months Good 

John Hennegan 6 Months Good 

Henry McLean 6 Months Good 

All reported before 9 o'clock Monday morning, December 27th, and while some 
of them looked as if they had been drinking, all were sober and well behaved when 
they returned. Yours very respectfully, 

F. M. Rivenbark, 
Superintendent New Hanover County Work House. 

Hon. Locke Craig, Governor, Hallsboro, K C, December 30, 1915. 

Raleigh, N. C. 
Dear Sir: — In compliance with your proclamation of the 22d inst., authoriz- 
ing the paroling the trusties for the holidays, I beg to advise your excellency that 
I paroled eight trusties from Columbus County convict camp whose names are as 
follows: J. J. Tyson (white), Nathan Bostic (colored), Luther Barber (colored), 
Pearl Graham (colored), Jim Csesar (colored), McKinley Cuffee (colored), Oliver 
Lewis (colored), Ed Allen (colored). All returned not later than 12 o'clock, Mon- 
day, December 27th. Yours very respectfully, 

A. L. Griffin, 
Superintendent. 



PAROLE OF STATE'S PRISONERS 179 

Asheboko, 1ST. C, January 3, 1916. 
Hon. Locke Craig, Governor, 

Raleigh, N. C. 
Dear Sir : — I herewith hand you report of J. C. Farlow, superintendent Ran- 
dolph County convict force. In our county jail we had at that time only one 
prisoner, who is being held for court in default of bond. 

Respectfully, J. W. Beekhead, Sheriff. 

Sophia, Randolph County, K C, December 29, 1915. 
Hon. Locke Ceaig, Governor, 

Raleigh, N. C. 
Dear Sir: — On December 24, 25, and 26, I paroled one prisoner, Pearl Bal- 
four. He returned and reported for work on the morning of December 27th. As 
far as I can ascertain his conduct was good while away from camp. 

Respectfully, J. C Fablow, 

Superintendent, Randolph County Convict Camp. 

tt t „ n„ ,„ «„„,„„»,„„ Lumbeeton, N". C, December 28, 1915. 

Hon. Locke (Jraig, Lrovernor, 

Raleigh, N. C. 
See: — In reply to your greeting of the prisoners in my charge I let three go 
home. All returned as requested and I think all seemed to like it all right, 
and reported a nice time. Those who went home were : Gus Hunt, John McCallen 
and Jesse McDuffie. I had several others but they were boys, and I was a little 
afraid to let them go off. Yours truly, J. L. Teowee, 

Keeper Gang No. 1. 

H T r\ n Raleigh, "N. C December 28, 1915. 

on. Locke Ceaig, Governor, > > -^^^ c > 

Raleigh, N. C. 

Deae Sir : — I am glad to report that every one of the fifteen men released from 

our convict camps to go home Christmas returned on time. I did not release all the 

so-called trusties, as we had some men who could be trusted only when near a 

steward or guard, but I let all our honor roll men go. By not letting those others 

go put us in bad with them, but there was no help for it. 

I suggest that nest time you specify all honor roll men and let the various 

counties know it in advance. They will then be ready, and the men themselves will 

know why the distinction. Yours very truly, 

C. M. Millee, 

Wake County Highway Engineer. 

Hon. Locke Ceaig, Governor, Salisbttet, K C, December 29, 1915. 

Raleigh, N. C. 
Dear Sir : — Below is a list of prisoners allowed to spend Friday, Saturday 
and Sunday at home. I beg to report that they all came back as ordered. 

Horace Furr, D. L. Brown, Charles Caldwell, Paul Goode, Henry Click, Isaiah 
Reynolds, "Will Burton, "Wade Simmons, Clarence Knox, Paul Harris, Paul Bar- 
ber, Andrew Kewkirk, Charles Baker, Jim Wood, Will Chunn. 
The first two are white, the others are colored. 

Yours very truly, J. H. Keider, Sheriff. 



180 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Roxboro, N. C, December 31, 1915. 
To His Excellency, Locke Craig, Governor, 

Raleigh, N. C. 
Sir: — I beg to report that the only prisoner in Person County jail coming 
within the terms of your order was D. M. Andrews, serving a sentence for violating 
the prohibition laws, and I, of course, released him for the three days specified. 
He returned to prison promptly. Respectfully, K g _ Th0MPS0N; Sheriff , 

Hon. Locke Craig, Governor, Reidsville, K C, December 31, 1915. 

Raleigh, N. C. 
Dear Sir : — Under your general parole of December 22, I wish to advise that 
we have three camps in this county. We have prisoners from Surry, Stokes, Cas- 
well and Wilkes. These prisoners did not have the means to go home. We gave 
all three days rest, and extra good meals. The camp foreman tells me they all 
enjoyed Christmas. With the compliments of the season. 

Yours to command, Francis B. Kemp, Sheriff. 

Governor Locke Craig, Wilson, ~N. C, December 30, 1915. 

Raleigh, N. C. 

My dear Sir: — In reply to your proclamation of December 22, I have the 
pleasure to report that we have two convict camps in this county, superintended 
by John Herndon and Jack Owens, respectively. They report to me that from 
their camps five men, all colored, were given the pleasures you so generously ex- 
tended, and returned in accordance on time, expressing happiness at such favors, 
to wit, that Governor Craig might always be Governor if they were unfortunate 
enough to be on the county roads in North Carolina. 

As for the jail, Judge Bond had just adjourned court, which accounts for my 
not being able to extend and favor your proclamation thereto, 

Yours sincerely, Howakd M. Rowe, Sheriff. 

Fuquay Springs, 1ST. C, January 7, 1916. 
To His Excellency, Locke Craig, Governor, 

Raleigh, N. C. 

My dear Sir: — I have the honor to report to you upon the conduct of three 
prisoners (trusties) whom I allowed to go home to spend the three holidays as 
per your proclamation. The names of the prisoners follow: 

Joe Bullock, sentenced from Vance County, 12 months. 

Ed Jones, sentenced from Vance County, 5 months. 

Frank Hayes, sentenced from Vance County, 6 months. 

All returned on time. The conduct of Joe Bullock, I think, deserves special 
mention and notice. He left his home to return to eamp on Monday morning, 
leaving his baby brother, 14 years old, a corpse of only an hour. I asked him why 
he did not wire me for permission to stay to the funeral. He replied that his 
word and honor were pledged to me and he was determined to keep it. 

This is only a small road camp. I handled prisoners for several years in 
Georgia, and my experience is that a very small per cent will deceive you if put 
upon honor. I keep one to two guards, as much for avoiding adverse criticism 
as to hold the prisoners. I treat them well, feed them well, and work them well. 
I do not allow any abusive or profane language used toward them, which they 
seem to appreciate. Yours very truly, ^ A. Sexton. 



PAROLE OF STATE'S PRISONERS 181 

(3) 
PAROLE OF STATE'S PRISONERS, CHRISTMAS, 1916 



State of !N"orth Carolina 

Executive Department 

Raleigh 



December 20, 1916. 



To the Superintendent of the State's Prison, 

The Sheriffs of the Counties of North Carolina, and 

To the Officers in charge of Convict Camps and Forces. 

Greetings : — You are hereby authorized and requested to allow each and every 
prisoner who is and has been a trusty for ten days prior to this date to return to his 
home or other place chosen by him, and to remain away from the camp or prison 
during Sunday, Monday, and Tuesday, the 24th, 25th, and 26th of December, pro- 
vided each trusty pledge his honor and satisfy the officer in charge that he will 
return by twelve o'clock on Wednesday, December the 27th. 

You are further authorized and requested to give to all of the prisoners in 
your charge a holiday on Sunday, Monday, and Tuesday, the 24th, 25th, and 26th 
of December. 

You are furthermore directed and requested to report to me on or before the 
first day of January your action in accordance herewith and the results, and the 
name and conduct of each prisoner paroled. 

A request and authority similar to this was issued in December, 1915. It was 

universally observed by sheriffs and officers. The prisoners that were paroled kept 

their promise with scrupulous fidelity, and showed that they were worthy of the 

confidence and trust. T „„ n 

Locke (Jraig, 

Governor. 



(4) 

REPORTS OF SHERIFFS ON RESULTS OF PAROLE 

Note. — Up to the time of going to press not all the sheriffs had been heard from, but 
the letters received indicate that a large number of prisoners were paroled — probably a 
good many more than were paroled last year — and that three of them have not returned 
according to promise. 

The State's Prison 

Governor Locke Craig, Raleigh, E". C, December 29, 1916. 

Raleigh, N. C. 

Dear Governor :— In accordance with the order contained in your proclama- 
tion paroling prisoners for three days during the Christmas holidays, including 
Christmas day, I have the honor to make to you the following report: 

There were all told 67 State prisoners paroled according to your request. I 
have now received reports from the supervisors at all points in which State prison- 
ers are employed, and beg to say that two only out of the total number paroled 



182 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

violated the conditions and terms of their parole. These were white men who were 
released from the State farm by Capt. C. N". Christian. They are Wallace Brad- 
ley, from Swain County, under a sentence of sixteen years for murder in the second 
degree, who was received here in 1912, and Littleton Bright, from Warren County, 
serving a sentence of fifteen years for murder in the second degree, who was 
received here in 1913. These two prisoners had not returned on December 28th, 
and no word had been received from them by Mr. Christian, and he had no reason 
to believe that they would return and did not expect them to do so. We will, of 
course, treat these two prisoners as escaped convicts and offer for them the usual 
reward for escaped prisoners, and use our best efforts to rearrest and return them 
to the prison. 

Without any exception the prisoners who were paroled seemed to greatly appre- 
ciate the privilege, and many of them have expressed their thanks to you for their 
holiday liberty. I am, Yours very truly, J. S. Mann, 

Superintendent. 

Hon. Locke Craig, Governor, Burlington, N. C, December 30, 1916. 

Raleigh, N. C. 
Dear Governor Craig : — We had the following convicts off for Christmas : 
Lee Hilliard (white), Lawrence Sutton (white), Ab Causey (white), William 
Smith (white), L. C. Crater (colored), Chot Holt (colored), Morris Graves (col- 
ored). Live came back all right. Chot Holt was arrested for being drunk in the 
street. One man not well, hasn't come; but his wife came and said he would be 
back as soon as he was able. He lives near stockade. 

Bespectfully submitted, G. A. Fogleman, 

Superintendent of Roads. 

Wadesboro, 1ST. C, December 29, 1916. 
Honorable Governor : — I will tell you about my prisoners : T. J. Flake 
(white), Mood Turner (white), Milt Tilman (colored), Archie Davis (colored), 
Sam Rowie (colored), Will Turner (colored), Will Crump (colored), Wiley Smith 
(colored), Brack Gaddy (colored), Will Gaddy (colored), Frank Little (colored), 
Lonnie Home (colored), Raymond Bennett (colored). Every one came back. 

Yours truly, M. B. Howell, 

Superintendent of Roads. 

Hon. Locke Craig, Windsor, N. C, December 29, 1916. 

Governor of North Carolina. 
Dear Governor: — I beg to submit to you the following report and names of 
prisoners that were released to spend Christinas at home, namely: York White, 
Dave White, Robert Hoggard, Ed. Freeman, Joe Smith, Wiley Smith, Bill Heck- 
stall, Sills Miller, Tom Coffield, William Smallwood, William Gatting, Buck Small- 
wood, and Dukes Hoggard. All of these prisoners have returned and behaved 
themselves. 

Hoping you a prosperous New Year, I am, Very truly yours, 

J. W. Cooper, 

Sheriff. 



PAROLE OF STATE'S PRISONERS 183 

Governor Locke Craig, Efland, JN". O, December 29, 1916. 

Raleigh, N. C. 
Honored Sir : — All convicts in my camp returned promptly, after their Christ- 
mas at home. Yours very truly, A. W. Clark, 

Supervisor, Orange County Roads. 

Asheville, 1ST. C, January 1, 1917. 
Hon. Locke Craig, Governor. 

Dear Sir : — You will please find the report of the trusties that went to their 
homes for Christmas and holidays. They all returned except one white man, 
Harris Debrew. He assaulted a man by striking him with a bottle, and was 
arrested by a policeman. 

The names of the white men: Adam Wheeler, C. C. Coon, Harris Debrew, 
Harley Gausnell, James Johnson, Otto Munsey, Andy Webb. 

The names of the colored : Kid Wills, Frank Angle, Charles Logan, John Scott, 
Will Williams, Arthur Booker, Preston Gibson, Mont. Wofford, Henry Roberts, 
Harry Morris, J. 1ST. Edwards. 

Governor, I am truly sorry your term is about to expire. I would be glad if 
you could or would be our Governor the next four years. 

E. M. Mitchell, Sheriff. 

Hon. Locke Craig, Governor, Durham, N. C, December 28, 1916. 

Raleigh, N. 0. 

Deae Sir : — I beg leave to report that, according to your instruction I allowed 
four trusties to leave the work house in Durham County, to spend three days of 
the Christmas holidays. 

All three have returned, but not as promptly as last year. 

Very respectfully, E. D. Couch, 

Superintendent Workhouse. 

Lexington, 1ST. C, December 30, 1916. 
To His Excellency, Locke Craig, Governor, 

Raleigh, N. C. 

Dear Sir : — In response to yours of the 20th of December. I wish to make 
the following report: 

Billy Homes, of Barnwell, S. C, serving a term of fifteen months, returned 
Wednesday at 11 o'clock. Behavior good. 

H. V. Smith, of JNTasheville, Tenn., serving term of six months, returned 
Tuesday at 12 o'clock. Behavior good. 

Sam Hoover, of Thomasville, N. C, serving term of ten years, returned Tues- 
day at 12 o'clock. Behavior good. 

Floyd Lee, of Lexington, IS". C, serving term of two years, returned Tuesday 
at 12 o'clock. Behavior good. 

Each prisoner wishes to extend to you thanks for this parole. Wishing you 
the very happiest of New Years, I beg to remain your humble servant. 

T. W. Miller, 

Superintendent. 



184 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Hon. Locke Craig, Governor, Durham, N. C, December 28, 1916. 

Raleigh, N. C. 
Dear Sir: — I beg leave to report tbat, according to your instructions issued 
to tbe Superintendents of county road convict camps, I allowed to go borne and 
spend tbree days of tbe Cbristmas bolidays, December 24,-26, twenty-two trusties. 
All of tbese men returned by noon of tbe 27tb, witb tbe exception of two. Jobn 
Williams (colored) returned at 6 :30 p. m. on tbe 27tb. Tbe otber, Wesley Perry 
(wbite), bas not returned yet. Please advise me wbat to do in tbis case. 

I am sorry to say tbat none of tbe trusties did as well this time as tbey did 
last year in returning to tbe camp, as tbey waited till tbe last minute, or most 
of them. All reported having a good time. Very respectfully, 

J. M. Pollard, 
Superintendent Roads. 

Concord, N". C, December 29, 1916. 
To His Excellency, Governor Craig: 

Complying with your letter dated December 20, 1916, would say we let off 
the following men for three days : Joe Pless, Sam Ellis, Alex Tyson, John Alex- 
ander, and B. H. Hardaway. Alex Tyson did not go home as he lives in Moore 
County, but he was let go wherever he wanted. All conducted themselves fine and 
reported at camp Wednesday morning. Yours very truly, 

H. W. Caldwell, Sheriff. 

Hon. Locke Craig, Governor, Lexington, 1ST. C, January 1, 1917. 

Raleigh, N. C. 
Dear Sir: — I gave pass letters to Mr. Tom. Miller, Superintendent of the 
chaingang. He tells me all tbe prisoners returned, and that they are very grate- 
ful to you for tbe kindness shown them. Mr. Miller wrote you last night. 

Yours truly, A. T. Delap, Sheriff. 

To the Governor: Louisburg, 1ST. C, December 28, 1916. 

Your order of authority of December 20th, duly received. Same was read 
to the superintendent of the convict camp of this county. He paroled Henry 
Leonard and Wesley Burrell. Tbey both made satisfactory records and returned 
to camp within the time limit, sober and well pleased with their holiday so kindly 
given them by you. Respectfully, H. A. Kearney, Sheriff. 

To His Excellency, Governor Craig, Oxford, N". C, December 30, 1916. 

Raleigh, N. C. 

Honored Sir : — I beg to report tbat under your order I released two trusties for 
the holidays from the Granville County convict road force. Both of them re- 
turned for duty promptly and went to work. No complaint has been heard 
against them while away from camp. Very respectfully, 

R. A. Jones, 
Superintendent of Roads. 



PAROLE OF STATE'S PRISONERS 185 

Winston-Salem, N. C, December 30, 1916. 
Hon. Locke Craig, Raleigh, N. C. 

Dear Governor : — In pursuance with your request, I released the following 
convicts from custody on Sunday, December 24th, to return to camp on December 
27th, noon : George House, Buck Patterson, John Banks, Pinckney Person, Asbury 
Sparks, Colen Lee, Arthur Stewart, Russell Denny, "Will Archie, Lee Stafford. 
Will Hairston, James Young (colored), and James Hicks (white). All of the 
above men returned promptly, and deported themselves honorably during their 
absence. Tours very truly, R. T. Joyce, 

Superintendent Convict Forces. 

Hon. Locke Craig, Governor, Statesville, N". C, January 1, 1917. 

Raleigh, N. C. 
Dear Governor : — I complied with your request of December 20, and am 
pleased to state that each and every trusty returned at the time appointed. 
Wishing you a very prosperous and happy New Year, I am, 

Yours, M. P. Alexander, Sheriff. 

Governor Locke Craig, Smithfield, N. C, December 30, 1916. 

Raleigh, N. C. 
My Dear Sir: — I herewith make this report for prisoners given chance to go 
home Christmas : two white men, A. A. Massingill and Thomas Wallace, were let 
go. Massingill stayed at the camp at night, visited over in town each day. He 
preferred that as he only had five days to serve after that. Wallace went home. 
Both were in place at the time specified. Two black men, Barney Stevens and 
Juddie Conner, went home and came back on time. 

I think, Governor, your idea of giving them this privilege has its influence 
for good not only with the men who go home but with the entire force. Wishing 
you good health and much happiness with peace and prosperity, I am, 

Yours truly, George L. Jones, 

Superintendent Township Roads. 

Wilmington, 1ST. C, December 30, 1916. 
His Excellency Locke Craig, Governor, 

Raleigh, N. C. 
Dear Sir: — In compliance with instructions contained in your circular letter 
dated December 20th, I have the honor to report that the men named below were 
allowed to go home during the holidays; that their conduct was, as far as known 
to me, good; and that all of them returned at the appointed time: Washington 
McNeal, W. J. Richardson, Bob Harris, Oscar Johnson, Charles McAlpine, Frank 
Pears, Will Brown, John Cooper, M. C. Jones, Foster Simpson, Rufus Howe, 
George Mandy, George Galloway, Moses Sharpless, Ed Austin. 

Last year ten were allowed from this institution. All returned promptly. 
This year it was extended to fifteen with the same pleasing results. 

Yours very truly, Fred M. Rivenbark, 

Superintendent Workhouse. 



186 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Hon. Locke Craig, Snow Hill, 1ST. C, January 2, 1917. 

Raleigh, N. C. 
Dear Sir : — We would, according to your instructions, report that we let go 
for the Christmas the following named trusties doing service on the roads of 
Greene County: John Koonce, John Swinson and Richard Mays; that they all 
returned on time, and that their conduct when out on parole was a very fine in- 
dorsement of your Excellency's very worthy course. We believe that you have 
been the originator of an idea which will wear well and find following in other 
states. We remain, Most truly yours, 

J. E. Herring, Sheriff. 
J. M. Nipper, 
Superintendent Camps and Roads. 

Henderson ville, N. C, January 1, 1917. 
Governor of North Carolina, 

Raleigh, N. C. 
My Dear Sir : — Your order was obeyed, but I was delayed in sending in my 
report, as the boss of the chain gang was some distance out. He reports to me 
the names of prisoners he let go home through the holidays, as follows : Ed 
Bridgemar, W. M. Lorance, Bo Ponders, Babe Copeland. 

I only had at that time three darkies in jail. I took them out for an auto ride 
about two hours and they enjoyed it finely. 

The men on the gang returned on time. It worked all O. K. 

Y ours truly, M. Allard Case, Sheriff. 

Hon. Locke Craig, Governor, Mount Airy, N. C, January 1, 1917. 

Raleigh, N. C. 
Sir : — I had only one trusty, Fred Poore. He was allowed to go home on De- 
cember 24th. He returned to prison, Wednesday, the 27th. 

W. G. Belton, Sheriff. 

Hon. Locke Craig, Governor, Salisbury, N. C, December 28, 1916. 

Raleigh, N. C. 

Dear Sir: — The following named prisoners of Rowan County were released 
for Christmas, as per your orders : 

Chain-gang No. 1. — There were six released, as follows : D. L. Beasley, Cal 
Earnhardt, Frank Brady, Ed. Litaker, Will Massey, and Will Marlow. All 
returned as per instructions. 

Camp No. 2. — There were eight released, as follows : Paul Harris, John Henry 
Hill, Son Simmons, Price Hayes, Paul Barber, Jim Clark, S. S. Willis, and 
Charlie Baker. All returned except two. These were S. S. Willis and Charlie 
Baker. Willis had three months to serve and Baker had eleven months not served. 

At the county work house there were six released, as follows : Mag Allman, 
Margie Menins, Lewis Reedy, Willie Stevenson, Napoleon Aggues, and Ed. Car- 
line. These all came back as per instructions. Very truly yours, 

J. H. Keeper, Sheriff. 



PAROLE OF STATE'S PRISONERS 187 

Hon. Locke Craig, Asheboro, N". C, December 30, 1916. 

Raleigh, N. C. 
Dear Sir: — In answer to yours of the 20th inst., we allowed the prisoners of 
Eandolph County to take Monday and Tuesday, for holidays and begin work 
Wednesday morning, December 27. We have no trusties at this time, and there- 
fore, not any one was released during the holidays. 

Yours very truly, J. F. Hughes, Sheriff. 

Hon. Locke Craig, Governor, Hillsboro, 1ST. C, January 1, 1917. 

Raleigh, N. C. 
Hon. Sir : — I am pleased to advise that the following prisoners were allowed 
freedom for December 24, 25 and 26, each one returning to his work promptly 
after the expiration of these days, namely: Boby O'Briant, Eick Adkins, Jim 
Roland, Jim Edwards, George Woods, Richard Alston. 

Very respectfully, Charles G. Rosemond, Sheriff. 

Hon. Locke Craig, Rocky Mount, N". C, December 30, 1916. 

Raleigh, N. C. 

Dear Sir : — In accordance with your request, I beg to say that I released five 
trusties from this camp. All returned promptly. Their conduct was good. 
Names as follows: Joe Bissett (white), Henry Tant (white), Sherman Robeson 
(colored), Will Sessoms (colored), Sam Willey (colored). 

Very truly yours, W. B. Rose, 

Superintendent. 

Governor Locke Craig, Brevard, N". C, December 30, 1916. 

Raleigh, N. C. 
My dear Sir : — I am sending you herewith list of convicts who were released 
and returned during the holidays : Edward C. Ward, Albert Rackan, John H. Reid, 
Fate Enight, F. M. Bunid, K"oah Troy, Eunci Jackson, John Griffin, George Orr. 
Jule Eilgore, and Percy Thomas. Yours very truly, 

Cos Paston, Sheriff. 

Hon. Locke Craig, Governor, Goldsboro, N". C, January 2, 1917. 

Raleigh, N. C. 
Dear Sie: — I herewith report number of convicts allowed leaves of absence for 
Christmas: Howard Bathais, Oscar Faison, Dick Simmons, Elliott Grantham. All 
took advantage of the leave given them, except one, Dick Simmons, who preferred 
to remain at camp ; and all returned on time. Very truly, 

Sam D. Scott, 
Highway Engineer. 



(VI) 
STATE'S PRISONERS 



IN REGARD TO HIRING THEM TO CERTAIN RAILROADS WITHIN THE STATE. 
REPLY TO INQUIRY OF HON. HENRY A. PAGE 



HIRING STATE'S PRISONERS TO CERTAIN RAILROADS. REPLY TO 
INQUIRY OF HON. HENRY A. PAGE 

State op North Carolina 

Executive Department 

Raleigh 

February 12, 1915. 
Hon. Henry A. Page, 

Raleigh, N. C. 

My Dear Mr. Page: — Your letter delivered to me on the 9th in regard to the 
leasing of convicts to the Elkin and Alleghany Railroad Company would have 
been answered sooner, but for the demands of other business. 

I have given careful consideration to your inquiry as to what construction I 
place upon Section 20 of the act constituting the charter of the Elkin and Alleghany 
Railroad, making the approval of the Governor a prerequisite to the assignment of 
convicts to this road. In your letter you construe the act as follows : 

"Whenever in the exercise of his (the Governor's) sound discretion he 
finds as a fact that the commodity to be received in payment for the labor of 
these convicts is actually and really and truly worth its face value in money, 
then, and not until then, can he be permitted to accept same in payment 
under the act quoted, as modified and controlled by the Constitution of the 
State. There is nothing else that he can possibly be supposed to use discre- 
tion about. I therefore think it is perfectly clear that the intention of the 
General Assembly of 1907 was to authorize the exchange of convicts for 
stock in the Elkin and Alleghany Railroad when, and only when, the Gov- 
ernor should be entirely satisfied that such stock was worth its face value 
in money." 

I cannot agree with your interpretation of this law. I am satisfied that the 
Legislature not only did not have the intention stated by you, but that it had the 
very opposite intention. There is nothing in the language of the act to warrant 
your conclusion. If the General Assembly had such intention it certainly should 
and would have expressed it. When the act was before the General Assembly, the 
pay for the convicts was the principal question considered. This was the distinc- 
tive feature of the act. The purpose of Section 20 was to enable the Elkin and 
Alleghany Railroad Company to obtain the use of convicts, and to pay the State 
therefor in stock that was not "actually and really and truly worth its face value 
in money." By this means the State would assist the people of that remote sec- 
tion to get a railroad. It had assisted other sections to get railroads. If the Gen- 
eral Assembly had authorized the appropriation of convicts to the Elkin and 
Alleghany only upon the condition that they should be paid for in stock that was 
"actually and really and truly worth its face value in money," this section of the 
act would have been of no assistance in building the road, and would have conferred 
no benefit upon that section of the State. Neither Governor Glenn nor Governor 
Kitchin nor I read into this act the meaning that you contend for; but, on the 
contrary, three Governors in succession have interpreted the act to mean what it 



192 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

says, to wit : That available convicts be assigned to this road, and the stock of the 
railroad company taken as pay tberefor, although this stock is not "actually and 
really and truly worth its face value in money." This whole situation was clearly 
understood by the General Assembly of 1907 that passed the act, and since then 
four General Assemblies have met. All have acquiesced without question in the 
construction placed upon this law by the different Governors. Two of the General 
Assemblies have indorsed the present policy, after full investigation and discussion. 
This stock has been received in payment for convicts by the State Treasurer since 
1907. It has always been conceded that it has no market value, and, that it may 
never have any value. This is shown by the report of the State Treasurer. It 
was stated in my message to the General Assembly, and you state in your letter 
that such is "the practical admission of the fact by every one of the gentlemen 
now defending the deal before committees and the Senate." These conditions have 
been thoroughly understood since 1907 by all persons informed on the subject, and 
no citizen of the State, and no General Assembly has ever before sought to place 
your construction upon the charter of the Elkin and Alleghany Railroad. The pres- 
ent Senate, by an overwhelming majority, declines to adopt your view on a clear- 
cut presentation of the question, and the present House of Representatives is so 
pronounced against your construction of this law that you have decided, as I am 
informed, not to contend further before that body, of which your are a member. 
This General Assembly, now in session, after full discussion, has refused to require 
money value for these convicts. In the face of these facts I cannot conclude that 
this General Assembly, nor that any other General Assembly, intended that this 
railroad should have convicts "when, and only when, the Governor should be 
entirely satisfied that such stock was worth its face value in money." The moving 
consideration for the appropriation by the State of these convicts to aid in the 
construction of these roads is not the stock in the railroad companies. The real 
compensation to the State is the prospective development of rich and inaccessible 
sections inhabited by a portion of our citizenship desiring and deserving the facili- 
ties of communication and transportation with other portions of the State. It 
seems to me that this is thoroughly understood and well established. 

Nor can I treat this statute as a nullity because in conflict with the Constitution. 
It is not, as I conceive, the prerogative of the Governor, nor even of the courts, to 
declare acts of the General Assembly unconstitutional and void, except in clear 
and extreme cases. It is the Governor's duty not to disregard, but to execute, the 
laws made by the people, and by the representatives of the people. 

"When the Constitutional Convention of 1875 ordained that "The General 
Assembly shall have no power to give or lend the credit of the State in the aid of 
any person, association or corporation," it doubtless had in mind the millions of 
fraudulent bonds issued by the Reconstruction Legislature for the pretended pur- 
pose of building railroads. Does this section of the Constitution prohibit the 
Legislature from aiding remote sections of the State in securing railroad facilities 
by the leasing of convicts, when no obligation is incurred by the State, although 
the stock paid for these convicts may not be worth its face value in money? Able 
lawyers differ as to the meaning of this section of the Constitution, and as to its 
application to this situation. 

In passing upon the appropriation of these convicts to the Elkin and Alleghany 
Railroad and to other roads, there are many considerations to influence the discre- 
tion of the Governor, or the board clothed with such discretion: the feasibility of 



HIRING STATE'S PRISONERS TO RAILROADS 193 

the enterprise, the extent of the benefits, the condition and requirements of the 
prison, and many other things might enter into the consideration of the Governor 
or the board making the appropriation. 

I am not responsible for the present policy. The General Assembly is respon- 
sible. I expect to exercise the power and discretion vested in me in accordance 
with what I conceive to be the will of the General Assembly, with due regard for 
the economic management of the prison and the rights of all concerned. I shall 
not order the withdrawal of the convicts from the railroads on the grounds con- 
tended for in your letter. I am satisfied that such is not the will of the General 
Assembly. If the power to appropriate these convicts be continued in the Gover- 
nor, I shall continue the present policy to aid inaccessible sections in obtaining 
railroad facilities, provided I am assured that these railraods will be built to 
points that will benefit the remote sections, that the railroad companies will do 
their part, and that the enterprise is conducted in good faith for the benefit of 
those sections that the State desires to help and to develop. I shall at all times 
act as the situation may require, and withdraw the convicts, provided their with- 
drawal be advisable after considering all the circumstances. 

The Board of Prison Directors is the proper authority to administer all of the 
affairs of the prison, including the appropriation of these convicts. I therefore 
recommended in my message to the General Assembly that the power and discretion 
now vested in the Governor and Council of State as to the appropriation of these 
convicts be vested in the Board of Prison Directors. Whether this act be passed 
or not, I would not avoid responsibility for what has been done in the appropria- 
tion of these convicts, or for what may be done. 

I deem it my duty as Governor to make a full and candid reply to your letter 
and to give you my reasons for the position which I have taken. 

Tours truly, 

Locke Craig, 

Governor. 



13 



(vn) 

FRAUDULENT AND REPUDIATED NORTH 
CAROLINA BONDS 



FRAUDULENT AND REPUDIATED NORTH CAROLINA 

BONDS 

1. Reply to Inquiry from Governor Major of Missouri. 

2. Petition of the Republic of Cuba to Bring Suit Against the 

State. 

3. Letter from Cuban-American Society, and reply thereto. 



(1) 

REPLY TO INQUIRY FROM GOVERNOR MAJOR OF MISSOURI 

United States Senate 
"Washington, D. C. 
Hon. Locke Craig, January 12, 1916. 

Raleigh, N. C. 

My deae Goveenoe: — Today Governor Major of Missouri called upon me and 
stated that some syndicate had offered to give the State of Missouri a large batch 
of North Carolina bonds issued about April, 1869, signed Holden, Governor, and 
Jenkins, Treasurer. He said he was personally very much opposed to accepting 
this donation, but that the Legislature of that State had created a board composed 
of the Governor, Treasurer and Attorney-General, and conferred upon it the power 
to accept or reject donations offered to the State, and he wished me to give him 
information with reference to the so-called bonds, so that he might submit the facts 
to his associates on this board. 

The Governor did not say what conditions were attached to the gift, but I 
assume, of course, that one of them was that the State should bring suit to test 
the validity of the bonds. 

I have in my possession a printed document containing an open letter written 
by Capt. S. A. Ashe, dated June 26, 1905, to the Hon. John G. Carlisle (then of 
New York City and attorney for the bond syndicate holding these so-called bonds), 
replying to some published statements made by Mr. Carlisle and one Andrews, who 
in some way, with Carlisle, represented this syndicate. This letter of Captain 
Ashe's goes very fully into the history of the Legislature which issued these bonds 
and of the bonds themselves. I promised Governor Major to send him this docu- 
ment, which I will do immediately; and also that I would write you requesting 
that you communicate with him upon the subject. I also send you herewith a copy 
of the document referred to above. 

"With assurances of high esteem, I am Very truly yours, 

F. M. Simmons. 

State of North Caeolina 
Executive Depaetment 
Raleigh 
His Excellency, The Governor, January 21, 1916. 

Jefferson City, Mo. 
My dear Governor Major: — I have been informed that certain parties have 
offered to present to the State of Missouri some old North Carolina bonds which 
have been repudiated. These bonds are what are known as "Reconstruction 
Bonds." They were issued in the days of Reconstruction, and were designed and 
sold in fraud and corruption. The people got no value for them. 

It has come to me that you do not look with favor upon the acceptance of these 
bonds by your State in order that suit might be brought against the State of North 
Carolina. On behalf of our people I desire to thank you personally for this attitude 



198 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

that you have taken. I am enclosing a paper written by Captain S. A. Ashe, 
giving the history of these bonds, and showing that we are under no obligation to 
pay them. 

The Constitutional Convention of 1875 declared an ordinance forever protect- 
ing the State against these bonds by providing that no legislature should have the 
power to pay them. 

Again thanking you, and with the highest regards I am 

Yours sincerely, Locke Craig, 

Governor. 

Executive Offices 
State of Missouri 
City of Jefferson 
Hon. Locke Craig, January 24, 1916. 

Raleigh, North Carolina. 
Dear Governor: — Yours of the 21st inst. at hand. I wish to thank you for 
the kindly expressions in your letter, and for the enclosure you sent me. 

I wish to assure you that I am opposed to the acceptance of the gift, and now 
believe, with the information I have, that I can prevent the other two members 
of the board, who have signified their willingness to accept the bonds, from doing 
so, and can induce them to change their attitude and to join me in refusing the 
gift. I am now firm in the belief that these bonds were issued in fraud and cor- 
ruption, as you say, and the people of North Carolina should not be called upon 
to meet same. 

With kindest regards, I am Yours sincerely, 

E. W. Major. 

(2) 

PETITION OF THE REPUBLIC OF CUBA TO BRING SUIT 
AGAINST THE STATE 

( Telegram. ) 

Raleigh, N. C, November 9, 1916. 
The Chief Justice of the United States, 
Washington, D. C. 
I have been informed that the Republic of Cuba has filed a petition against 
the State of North Carolina in the Supreme Court for the purpose of enforcing 
the collection of certain bonds; that on Friday attorneys for Cuba will be heard 
urging petition for allowing suit. 

I request an opportunity to have the State of North Carolina heard in any 
proceeding or hearing by the Supreme Court. I desire the Attorney-General of 
North Carolina to be present and represent the State. He has just passed through 
a strenuous campaign and been elected Governor. I do not know that he can go 
to "Washington on Friday. I would appreciate information as to the proceeding 
now before the Court, and a postponement until the Attorney-General can attend. 
The Attorney-General is not in Raleigh. I would thank you for an answer. 

Locke Craig, 

Governor. 



FRAUDULENT AND REPUDIATED BONDS 199 

(Telegram.) 

Washington, D. G, November 9, 1916. 
Hon. Locke Craig, Governor, 

Raleigh, N. C. 
Application of Bepublic of Cuba for permission to file suit against North Caro- 
lina is purely formal application. No hearing is to be granted on Friday or any 
other day on that application. If permission is given to file suit every oppor- 
tunity will be afforded North Carolina to be heard in the matter at some future 
date. James D. Maher, 

Clerk of the U. S. Supreme Court. 

Office of the Clerk 
Supreme Court of the United States 
Washington, D. C. 
Hon. Locke Craig, November 15, 1916. 

Governor of North Carolina, 

Raleigh, N. C. 
Dear Sir : — I have the honor to inclose herewith a certified copy of an order 
entered on the 13th instant in the case of Republic of Cuba v. State of North 
Carolina. 

Please acknowledge receipt. Yours truly, 

James D. Maher, 
Clerk U. S. Supreme Court, 
By Wm. R. Stansbury, Assistant. 

Supreme Court of the United States 
No , Original, October Term, 1916 

FiEpublic of Cuba, Plaintiff 

vs. 

State of North Carolina 

On consideration of the motion for leave to file a declaration in this cause, 
It is now here ordered by the Court that the said motion be and the same is 
hereby assigned for argument on Monday, January 8, next, and that notice of 
this order be given to the Governor of North Carolina and the Attorney-General 
of the United States. 
November 13, 1916. 



A true copy. 

Teste: James D. Maher, 

[seal] Clerk of the U. S. Supreme Court. 

Note. — As the Attorney-General of the State, Hon. Thomas W. Bickett, was to be 
inaugurated Governor on January 10th, and as it was impossible for him to devote his 
entire time to the preparation of the argument on the motion of the Republic of Cuba, 
Plaintiff, v. State of North Carolina, Governor Craig employed Hon. James S. Manning, 
who was at that time the Attorney-General-elect, and Hon. Cameron Morrison, of Char- 
lotte, to appear with the Attorney-General in the Supreme Court of the United States 
on the date set for the hearing of the motion, and to represent the State of North Caro- 
lina. 



200 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(3) 
LETTER FROM CUBAN-AMERICAN SOCIETY, AND REPLY THERETO 

Cuban-American Society 
Washington, D. C. 

New York City, November 10, 1916. 
To His Excellency , Hon. Locke Craig, 

Governor of North Carolina. 

Your Excellency : — The Cuban- American Society was recently incorporated 
at Washington, under the laws of the District of Columbia, for the principal pur- 
pose of promoting the formation of closer social associations between the peoples 
of Cuba and the United States, it being believed that the development of such 
relations between the representative citizens of these two countries will lead to 
financial and commercial understandings which will be of far-reaching importance. 

His Excellency, General Mario G. Menocal, President of Cuba, has accepted 
the Honorary Presidency of our Society, and His Excellency, Dr. Carlos Manuel 
de Cespedes, Minister from Cuba to the United States, is our Honorary Vice- 
President. The executive headquarters of our organization has been established 
in the Waldorf-Astoria, New York City. 

The visitation of Cuba by a distinguished body composed of the Executives 
of several of the sovereign States of our Union would be of the greatest value as 
an impressive official display of the fraternal sentiments entertained by our Nation 
for our sister Republic, and the enthusiastic welcome, with the receptions, fetes, 
military reviews and other entertainments which would be accorded to such 
eminent visitors, with the wide international publicity incidental thereto, would 
mean the beginning of a new epoch in the relationship between the two republics. 

Our Society desires to ascertain if your Excellency, in the interests of inter- 
national concord, would be disposed to accept, in your official capacity as Gov- 
ernor of North Carolina, a formal invitation from the Republic of Cuba to be 
the honored guest of the Nation, in company with Executives of other States, for 
a period of several days during the coming winter. The transit between an 
American port and Havana would be made by your Excellency and suite on a 
warship, and all other details pertaining to transportation and accommodations 
would be arranged for by our Society. 

Trusting that the activities of our Association for the promotion of the social, 
financial, and industrial unity of Cuba and the United States will meet with your 
highly esteemed approval, we have the honor to be, 

Your Excellency's most obedient servants, 

Cuban-American Society, 

E. Lawrence, Chairman. 



FRAUDULENT AND REPUDIATED BONDS 201 

State of North Carolina 

Executive Department 

Baxeigh 

November 30, 1916. 
Mr. F. Lawrence, 

Chairman, Cuban-American Society, 
New York City. 

My dear Sir : — Your letter inquiring if I, as the Governor of North Carolina, 
would accept a formal invitation from the Eepublic of Cuba to be the honored 
guest of that Nation has been carefully considered. I am not unmindful of the 
honor that you do me, and appreciate the cordial tone of your communication. 

Under different circumstances I would esteem it a privilege and a pleasure to 
signify my acceptance of the invitation, and to contribute in any way possible 
toward the promotion of closer relations between the people of Cuba and the State 
of North Carolina; but in consideration of the whole situation, it is impossible 
for me at this time, as the Governor of North Carolina, to accept the suggested 
hospitality from the Eepublic of Cuba. 

An action has been recently instituted in the Supreme Court of the United 
States by the Eepublic of Cuba against the State of North Carolina for the col- 
lection of certain fraudulent bonds amounting to more than two million dollars. 

These bonds are what are known as "Eeconstruction Bonds." They were issued 
by the General Assembly of 1868 and '69. In return for them the State received 
no value. They were issued by a General Assembly that for fifty years has been 
odious on account of its corruption and debauchery. This General Assembly con- 
vened immediately after the War between the States. It was elected in disregard 
of the Constitution and the forms of law. The bayonet was supreme. The best 
men of North Carolina were disfranchised. Ignorant and recently enfranchised 
slaves in riot and ruin were in control of our commonwealth, and constituted the 
principal part of the General Assembly. This was the day of our humiliation and 
oppression. 

Shortly after the issuing of these bonds the citizenship of North Carolina by 
heroic efforts took again their Government into their own hands. The bonds were 
repudiated. Their dishonor and the method of their issue was published to the 
world. No interest has been paid on them. The people of North Carolina in 
their Constitutional Convention of 1875 declared that the payment of the bonds 
by any official or by any General Assembly should forever be unlawful. 

Adventurers and unscrupulous speculators have secured or gotten control of 
many of these bonds, and have by devious methods attempted to collect them. 
The Federal Constitution provides that no individual can sue a sovereign State. 
On this account the holders of these bonds and their agents have attempted to 
enforce collection through the agency of other States of the Union, and for this 
purpose have offered most liberal gifts to States with whom they have negotiated. 
After the States became informed of the facts they refused to touch the unclean 
thing. The State of South Dakota did bring suit against the State of North Caro- 
lina, but not on bonds of the issue of 1868 and '69. 

If North Carolina owed these bonds she would pay them, and would have 
always recognized their validity. She does not owe them, and will resist payment. 

She hopes and believes that if the people of Cuba knew of all the facts pertaiu- 



202 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

ing to this subject, they would not make themselves a party to the unrighteous 
alliance against the people of this State. 

While the Kepublic of Cuba maintains, or attempts to maintain this action for 
the collection of these bonds, as the Governor of this State, I cannot consent to 
be the guest of that Nation. 

The citizens of North Carolina have always felt the deepest interest in the 
welfare and destiny of the Eepublic of Cuba. In 1898 thousands of young men 
volunteered from this State to enlist in the army for the relief from oppression 
and for the liberty of the Island of Cuba. On the grounds of the Capitol of the 
State there is the statue of Worth Bagley, a North Carolinian and an Ensign of 
the Navy, who was the first to shed his blood in this war of emancipation and 
humanity. Lieutenant William E. Shipp, a most gallant son of our State, com- 
manding and leading a battalion of the Tenth Cavalry, fell in the famous charge 
on San Juan Hill. These are not the only brave sons of North Carolina who gave 
their lives for the freedom of the Cuban people. 

We have given this and other evidences of our regard and sympathy. We 
have looked with gratification upon the increasing friendship between our people 
and the Eepublic of Cuba, and have realized that growing intercourse, trade and 
cooperation would inure to the highest welfare of both. 

In memory of the past and of the cordial relations existing between us, it was 
with surprise and disappointment that we learned of the action of the Cuban 
Eepublic in undertaking the enforcement of the claim above mentioned. 

I deeply regret that on any account there should be any interruption of the 
most cordial and friendly relations between the Eepublic of Cuba and the State 
of North Carolina. Yours sincerely, 

Locke Craig, 

Governor. 

Note. — The petition filed by the Republic ot Cuba against the State of North Carolina 
was subsequently withdrawn. See Supplemental Papers. 



(VIII) 

AGREEMENT OF ATLANTIC COAST LINE NOT 

TO REMOVE CASES PENDING TO THE 

FEDERAL COURTS 



FEBRUARY, 1916 



AGREEMENT OF THE ATLANTIC COAST LINE NOT TO REMOVE 
CASES PENDING TO THE FEDERAL COURTS 

Atlantic Coast Line Railroad Company 

Law Department 

Wilmington, N". C. 

February 6, 1915. 
Hon. Locke Craig, (At Raleigh, ST. C.) 

Governor of North Carolina, 

Raleigh, N. C. 

Dear Sir: — In order that suggestion made by me on behalf of this company 
may be definitely and clearly submitted to you and the gentlemen who have kindly 
consented to meet with you, in order to determine accurately the facts in connec- 
tion with the passage of the Enabling Act of 1899, under which the Wilmington 
and Weldon was consolidated with the other roads now forming the Atlantic Coast 
Line Railroad Company, I beg leave to reduce to writing in this letter the state- 
ment I have heretofore made to you, and individually to certain of the other 
gentlemen mentioned. 

I have asked, and you have very kindly consented to aid me in securing a 
meeting of the gentlemen who have actual personal knowledge of the facts con- 
nected with the introduction and passage of this bill, the object being to ask them 
to consider the situation as they recall it, and to determine, after mutual discus- 
sion : (1) Whether or not a promise was made by any official of the Wilmington 
and Weldon or the Atlantic Coast Line that the consolidated company would not 
seek to remove a case to the Federal court, upon the ground of diverse citizenship 
thereafter, if the bill introduced by Mr. Rountree was enacted into a law; (2) 
whether such a promise was made by any one else, having even apparent authority, 
on behalf of the Wilmington and Weldon or the Atlantic Coast Line, and (3) 
whether the Legislature, in passing this bill actually relied upon the faith of any 
such promise, either made, or which was understood by the Legislature to have 
been made. 

I have said to you, and to the other gentlemen, that the Atlantic Coast Line 
officials have no knowledge of any such promise ever having been made by any 
person officially connected with the Atlantic Coast Line, or by any one else, but 
that if it appeared that such a promise was made even without the knowledge of 
the officials by one having even apparent authority, and that the action of the 
Legislature of 1S99, in passing the law, was upon the faith of the understanding 
that such a promise had been made, the Atlantic Coast Line Railroad Company 
is now prepared, and will agree to renounce any right that it has under the law 
to remove cases from the State to the Federal court in this State, upon the ground 
of diverse citizenship, and will immediately agree to a dismissal, or remand of all 
cases now pending in the Federal court, in which the cause of action arose within 
this State, and which was removed to the Federal court upon the ground of diverse 
citizenship. 



206 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

I am authorized to agree further for the Atlantic Coast Line Eailroad Com- 
pany, in the event you find that such a promise was made, or understood to have 
been made, that it will not hereafter seek removal of cases, in which the cause 
of action arose in this State, to the Federal court, upon the ground of diverse 
citizenship, and to agree generally that so far as the right of removal is concerned, 
the Atlantic Coast Line Eailroad Company will assume the same position it would 
occupy if the property were still operated by the Wilmington and Weldon Railroad 
Company. This, as we view it, would give full force and effect to the possible 
purpose and intention of the Legislature in passing the Act of 1899, construing 
it most liberally in favor of the State. It would not, of course, preclude us from 
seeking the jurisdiction of the Federal court in those cases in which the cause of 
action arose in another State, or in other cases which, under the Federal statutes, 
may be tried in the Federal Court, even by a corporation which is a citizen of 
this State. 

It is the sincere desire of this company to ascertain actually the facts in con- 
nection with the passage of this bill, and thereafter to carry out to the fullest 
extent any obligation, either legal or moral, which properly flows from those facts, 
and I desire to express here my appreciation of the courtesy shown us by you 
gentlemen who have consented to meet and discuss this situation, in order that 
this proper object may be accomplished. 

To the end that your conclusion may be specifically and definitely known to 
us, I will very much appreciate it if you will give it to me in the shape of a letter, 
or other memorandum in writing, which may be taken as a guide and basis of our 
future action in the premises. Yours very truly, 

Geo. B. Elliott, 

Assistant General Counsel. 



Atlantic Coast Line Eailroad Company 
Law Department 
Wilmington, 1ST. C. 

February 6, 1915. 

(At Ealeigh, N". C.) 
Hon. Locke Craig, 

Governor of North Carolina, 

Raleigh, N. C. 
My dear Sir: — I acknowledge your letter of this date, reciting the conclusions 
reached by you, Judge W. E. Allen, Judge F. A. Daniels, Judge George Eountree, 
Hon. E. L. Travis, Hon. M. H. Allen, and Hon. H. A. Gilliam, in conference this 
morning, the five first named being the gentlemen who have personal knowledge 
of the circumstances attending the passage of the act of 1899, authorizing the con- 
solidation of the Atlantic Coast Line. 

It is naturally a matter of sincere gratification to this Company and its offi- 
cials to receive from you gentlemen who are familiar with the facts the assur- 
ance that is contained in your letter, constituting, as it does, a complete answer to 
the charge of bad faith on the part of this Company. 

I repeat now, in writing, the statement that I made to the gentlemen mentioned 
in your office this morning, to wit : that notwithstanding the fact that you find no 
promise was made by any person on behalf of this Company not to remove cases 



ATLANTIC COAST LINE NOT TO REMOVE CASES 207 

to the Federal court on the ground of diverse citizenship, nevertheless, inasmuch 
as it appears from your finding that the Legislature understood, in passing this 
bill, that the Company did not contemplate, nor intend, to remove its cases to the 
Federal court on the ground of diverse citizenship, and that the amendments 
adopted were understood and intended by the Legislature to cover this point, and 
that its action was on the faith of this understanding, this Company will, and it 
hereby does, agree to renounce such right as it may have under the law to remove 
cases in which the cause of action arises in this State from the State to the Federal 
courts in this State upon the ground of diverse citizenship. 

Although I am authorized to make this agreement on behalf of the Company, 
it will, I think, be better to have this assurance given to you and the people of the 
State by means of a letter over the signature of the President of this Company, 
and I will, therefore, upon my return to Wilmington, request Mr. J. R. Kenly, 
President, to confirm this statement over his signature in a letter addressed to you, 
to the end that this correspondence, with Mr. Kenly's letter, may be placed in your 
files as a record for the future determination of any question that may arise in the 
premises. 

With renewed expression of my appreciation of the courtesy of the gentlemen 
named in meeting to determine this question, I am, 

Yours very truly, Geo. B. Elliott, 

Assistant General Counsel. 



State of Worth Carolina 

Executive Department 

Raleigh 

February 6, 1915. 
Mr. Geo. B. Elliott, 

Raleigh, N. C. 

Dear Sir: — Your letter of February 6, 1915, has been received, and I have 
considered the matters referred to therein in company with Judge W. R. Allen, 
Judge F. A. Daniels, Judge George Rountree, Hon. E. L. Travis, Hon. M. H. 
Allen, Hon. H. A. Gilliam and yourself. I have reached the following conclusion, 
in which all of the gentlemen present concur: 

We find that no official of the Wilmington and Weldon Railroad, or of the 
Atlantic Coast Line made any promise at the time the consolidating act was passed, 
nor at any other time, that the company formed under the act would not seek to 
remove a case to the Federal court upon the ground of diverse citizenship, and we 
further find that no such promise was made by any one in behalf of the company. 
We do find, however, that it was understood by the members of the General Assem- 
bly without exception, who considered this act, that the company did not contem- 
plate nor intend to remove its cases to the Federal court on account of diverse 
citizenship, and that the amendments which were adopted to prevent removals would 
be observed by the company as understood and intended by the Legislature, and 
that the action of the General Assembly was on the faith of this understanding. 

It appears clearly to these gentlemen that these facts were not known to the 
officials of the Atlantic Coast Line Railroad prior to this conference. 

It is a matter of congratulation to the people of the State and to the company 
that, upon being fully informed as to the facts, the company shows a willingness 



208 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

to comply with the understanding that existed in the Legislature at the time of the 
passage of this act, and has agreed to remove no other causes of action arising in 
Worth Carolina on the ground of diversity of citizenship, and agrees that those 
causes now pending, which have heretofore heen removed on the ground of diver- 
sity of citizenship, may be remanded to the State courts. All of the gentlemen 
present join in commending the spirit of fairness of the company as manifested 
in keeping the promise or offer made by President Kenly in his recently published 
letter, without subtle distinction as to whether or not the facts as found by us meet 
the exact terms of his offer. Yours truly, 

Locke Craig, 

Governor. 



Atlantic Coast Line Kailroad Company 
Office of President 

Wilmington, N". C, February 7, 1915. 
Hon. Locke Craig, 

Governor of North Carolina, 

Raleigh, N. C. 

My dear Sir : — I have read with much pleasure and gratification your letter 
of February 6th to Mr. George B. Elliott, Assistant General Counsel of this com- 
pany, giving the finding of the gentlemen who met to consider the questions in- 
volved in the passage of the Act of 1899, authorizing the consolidation of the 
Atlantic Coast Line Railroad Company. I have also read the letter of February 
6th from Mr. Elliott addressed to you, in which he states for this company, that 
we will hereafter renounce the right of removal to the Federal court in all cases 
in which the cause of action arises within this State, upon the ground of diverse 
citizenship, and will agree that cases now pending in the Federal court, of such 
character, may be remanded to the State court. 

As suggested by Mr. Elliott in that letter, I now beg to ratify and confirm the 
position therein taken, and the agreement entered into with the State in this matter. 

It is particularly gratifying to me, and to the other officers of this company, 
that the charge of bad faith, and of conscious failure to live up to our obligations, 
should have been so fully and frankly met, and disproved, by the finding of the 
several gentlemen who were peculiarly in position to know the facts as they actu- 
ally transpired; and I take advantage of this opportunity to express to you our 
thanks for and appreciation of the kindly personal interest that you have taken 
in the matter, and for the aid you have generously given in securing the confer- 
ence, to the end that these facts might become known. 

I feel that it was largely through your kindly interest that this satisfactory 
solution of the situation was brought about. Yours very truly, 

J. R. Kenly, 

President. 



(IX) 
VANCE STATUE COMMISSION 

CREATED IN ACCORDANCE WITH RESOLUTION OF THE GENERAL ASSEMBLY 

OF 1907, PROVIDING FOR A STATUE OF ZEBULON B. VANCE 

TO BE PLACED LN STATUARY HALL IN THE 

CAPITOL AT WASHINGTON 



VANCE STATUE COMMISSION 

State of North Carolina 

Executive Department 

Ealeigh 

September 23, 1914. 
Justice W. A. Hoke, 

Raleigh, N. C. 

My dear Judge Hoke : — The General Assembly of 1907 passed a resolution 
providing that a marble statue of Senator Vance be erected in Statuary Hall in the 
Capitol at "Washington in one of the two niches reserved for North Carolina. The 
Governor and Council of State are authorized to take such steps as may be neces- 
sary to erect such statue, and to expend such sums as may be necessary therefor. 
The statute has never been erected. The law above referred to is printed in the 
Public Laws of North Carolina on page 1433. 

With the approval of the Council of State, I have decided to appoint a com- 
mission to provide for the placing of the statue of Senator Vance according to the 
resolution of the General Assembly, and with the approval of the Council of State, 
I have appointed the following Commission : 

Miss Laura Carter, Asheville, N. C, 

Mrs. Matthew VanL. Moore, Asheville, N. C, 

Mr. John Henry Martin, Asheville, N. C, 

Judge "W. A. Hoke, Ealeigh, N. C, 

Hon. Clement Manly, "Winston-Salem, N. C. 

I enclose you the certificate of your appointment. 

This Commission will proceed at once to take such steps as may be necessary 
to provide for the erection of the statue as soon as it can be done. When you have 
agreed upon the plans, you will make report to the Governor and the Council of 
State, that the same may be approved in accordance with the resolution of the 
General Assembly. 

The act provides that the necessary expenses connected with the modeling and 
erecting of such statue be paid by the State Treasurer. This includes the necessary 
expenses of the Commission. 

If you will pardon me, I will make the following suggestion of a plan of work : 
Each member of the Commission can devote to the preparation of the statue such 
consideration as he conveniently can. During the Christmas holidays let the Com- 
mission meet in the city of Asheville, and to this meeting each member can submit 
the result of his investigations. I take the liberty of requesting you to call the 
Commission together in Asheville during the approaching Christmas holidays. 

I have appointed three members in Asheville, so that a quorum would be at 
any meeting in this place without extra expense. In my opinion the very best 
statue should be erected that money can buy, but I wish the machinery for the 
erection of the statue to be as economical as is consistent with efficiency. 

Yours truly, Locke Craig, 

Governor. 



212 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 



Ealeigh, N. C., May 1, 1916. 
To Governor Locke Craig, 

Raleigh, N. C. 

Dear Sir : — The Committee, appointed by your Excellency to procure a statue 
of the late Senator Zebulon Baird Vance, for the purpose of presenting the same 
to the people of the United States, pursuant to the Act of Congress, respectfully 
beg leave to report that they have completed the work that was given them to do, 
and the statue, a bronze of heroic size, is now in its proper position in Statuary 
Hall, the Capitol, Washington, D. C, ready for unveiling. 

The committee considers itself fortunate in having secured for the purpose, 
Mr. Gutzon Borglum, an eminent sculptor, resident in New York city, and we 
are pleased to assure you that, in our estimate, Mr. Borglum has produced a statue 
that is at once an impressive likeness and a work of great artistic merit. 

We desire to thank your Excellency for selecting us for this task for, in com- 
mon with all the people of North Carolina, regardless of party or race, we are glad 
to have this great man stand for us before the American people in what is broad- 
minded patriotic, courageous, steadfast and true, and it has been a great gratifi- 
cation to all of us that we have been permitted to take this part in doing honor 
to his memory. 

Permit us also to thank you for your cordial and efficient cooperation 
throughout. 

With assurances of esteem and high regard, we remain, 

Very respectfully yours, W. A. Hoke, Chairman, 

for the Committee. 

Note. — Chapter 5, Public Laws of 1915, amended the Resolution of 1907 by striking 
out the word "marble" in said resolution, leaving the Commission free to procure a statue 
of bronze should they deem it advisable. Accordingly a statue of bronze was decided 
upon instead of marble as first contemplated. 



VANCE STATUE COMMISSION 213 



State or North Carolina 
Executive Department 
Raleigh 
Justice W. A. Hoke, May 1, 1916. 

Raleigh, N. C. 
My dear Judge Hoke : — I have received your letter notifying me that the Com- 
mittee appointed to secure the statue of Senator Zebulon B. Vance for Memorial 
Hall in the National Capitol, has completed the work given them to do, and that 
the statue is now in its proper position in Satutary Hall ready for unveiling. 

The Governor and Council of State greatly appreciate the services which you 
and your committee have rendered to the State of North Carolina in securing 
this magnificent statue of Senator Vance. You and your committee have at all 
times manifested earnestness in this work which could not result otherwise than in 
securing a satisfactory statue. On behalf of the people of North Carolina I thank 
you for what you have done in such an unselfish and patriotic spirit. 

The Council of State have today authorized you and your committee to do 
whatever in your opinion is necessary and appropriate for the unveiling and 
presentation of the statue to the people of the United States. We hope that we 
can impose upon you this additional task. 

With the highest regards, Yours sincerely, Locke Craig, 

Governor. 



Note. — On June 22, 1916, the statue of Zebulon Baird Vance was unveiled by his great- 
granddaughter, little Miss Dorothy Espey Pillow, in Statuary Hall, in the Capitol at 
Washington, ■where it occupies one of the niches allotted to North Carolina for her two 
most distinguished citizens. The presentation speech for the Commission was made by 
Justice W. A. Hoke, Chairman of the Vance Statue Commission, and accepted for the 
State by the Governor, who presented it to the United States. It was accepted for the 
United States by the Vice-President, Mr. Marshall. Following this ceremony, which was 
attended by the Congress of the United States and many citizens of North Carolina and 
their friends, appropriate ceremonies were held in the Senate Chamber. 



(X) 
MITCHELL'S PEAK PARK 



MITCHELL'S PEAK PARK 

Mitchell's Peak is the highest mountain in Worth America east of the Rockies. 
Its altitude is 6,711 feet. It is one of the peaks of the Black Mountains, the loftiest 
range of the Appalachian system. The Peak is situated in western North Carolina 
in the county of Yancey, twenty miles from the town of Black Mountain, on the 
Southern Railway, and ten or fifteen miles from Mount Mitchell station on the 
Carolina, Clinchfield and Ohio Railway. 

Mitchell's Peak, or Mount Mitchell, took its name from Dr. Elisha Mitchell, a 
professor of the University of North Carolina. He was the pioneer scientist of 
the South, a man of great ability, learning and research. In 1835 he measured 
the height of the mountain and ascertained for the first time that it was higher 
than Mount Washington, and that its summit was the highest land in America 
east of the Mississippi. Prior to Dr. Mitchell's measurement in 1835 Mount 
Washington was considered the highest. 

Until recently the only way to the top of this mountain was by steep and diffi- 
cult trails. But the traveler was compensated for the effort of the journey. He 
traveled ten miles through primeval forests, and on the summit was in the midst 
of a vast and unbroken wilderness of hundreds of thousands of acres where the axe 
had never been laid to a tree, except by hunter and trapper. Within the last few 
years a railroad for carrying logs has been built from the town of Black Moun- 
tain to near the summit of Mitchell. Within the last year this road has been 
equipped for passenger service, and during the last summer carried thousands of 
people to the top of the mountain. The views, while ascending on this road, con- 
stitute a panorama of surpassing grandeur. 

The Black Mountain Railway, recently built, connects with the Carolina, 
Clinchfield and Ohio at Kona on the Toe River. It runs through a most pictur- 
esque region to the Blue Sea Falls where Cane River leaps over a precipice 90 
feet high. The top of Mitchell is three and a half miles from these falls. 

The Black Mountains are covered with a luxurious growth of balsam or spruce. 
From the dark, rich green of this forest, the mountains derive their name. Their 
dark, somber color is in distinct contrast to the blue of other neighboring mountain 
ranges covered with forests of lighter green. 

This balsam or spruce timber is now very valuable for lumber and wood pulp. 
It has been purchased by companies who are rapidly removing it in immense quan- 
tities, and denuding the slopes of the mountain of the magnificent virgin growth. 
The ground is left covered with the resinous leaves and laps of the trees, which 
when dry are most inflammable. It seems impossible to prevent fires. On the 
areas which have been cut over, conflagrations sweep with terrific fury, burning 
everything. The rich and gorgeous slopes of the vast mountains are left a desert 
of blackened ruin. 

In the summer of 1914 the lumbermen who had purchased the timber on Mitch- 
ell were proceeding to remove it. Large areas on the sides of the mountain had 
been destroyed by axe and fire. The summit and the whole mountain were threat- 
ened. I had a conference with Messrs. Pearley and Crockett, who owned and were 



218 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

cutting this timber. At my solicitation they generously agreed to suspend opera- 
tions on and around the summit of the mountain until the General Assembly should 
meet. I stated to them that I would urge the General Assembly to protect this 
mountain and provide a reasonable compensation to them for the timber. But for 
this arrangement Mitchell's Peak would have been devastated, and its beauty de- 
stroyed. The General Assembly did make an appropriation of $20,000 to be used 
in the purchase of land for a park on the mountain, including the summit. By 
this enactment, the most noted mountain in the eastern portion of the United 
States was preserved in its original beauty and grandeur for ourselves and our 
posterity. 

One of the considerations moving the General Assembly to the establishment 
of the park was to relieve this famous mountain from private control, that the 
people of North Carolina and tourists from all parts of the world might have the 
privilege of free access. 

The bill making the appropriation for the establishment of the park was intro- 
duced and advocated in the Senate by Senator Zebulon Weaver of Buncombe, and 
in the House by Hon. G. P. Deyton of Yancey. It passed both houses by a large 
majority. 

This act of the General Assembly provided for a Commission to purchase and 
condemn the land for the park. I appointed on this Commission : Messrs. G. P. 
Deyton of Yancey, E. F. "Watson of Yancey, M. C. Honeycutt of Yancey, Wilson 
Hensley of Yancey, and T. E. Blackstock of Buncombe. 

The Commission has agreed with the owners as to the price and has purchased 
the land for the park except five acres near the summit. To secure this five acres 
condemnation proceedings have been begun as provided by the statute. 

The land on the summit, including the grave of Dr. Mitchell, was conveyed 
about forty years ago to Miss Margaret Mitchell, a daughter of Dr. Mitchell. 
Her heirs have expressed their willingness to convey this land to the State. 
********* 

It is now proposed to erect on the summit of the mountain a memorial to Dr. 
Mitchell that is enduring, worthy of the man, appropriate to the place. As soon 
as sufficient funds be secured I will appoint a commission to determine the design 
and provide for the erection of this memorial. — From- "Mitchell's Peak and Dr. 
Mitchell," a pamphlet published by the Governor, December, 1915. 

Note. — Col. Charles E. Johnson was appointed by the Governor, Treasurer of the 
Mitchell's Peak Monument Fund, and subscriptions have been received for this fund to 
the extent of several hundred dollars. 

Note. — See Supplemental Papers. 

Governor Locke Craig. Mitchell's Peak, N. C, June 21, 1914. 

Dear Governor: — Your favor of the 16th inst. received in due course, too late, 
however, to enable me to keep the appointment you made. And, as I shall not be 
in Asheville for some days, I take this opportunity of advising you of conditions 
here, in the hope that you may be able to aid me. 

Pearley and Crockett are rapidly cutting out the large timber on the west side 
of the mountain. Since I spoke to them they have suspended operations along the 
trail and are cutting out the lower timber. I cannot expect them to hold off 
much longer. All our interests are identical, but this is a business matter with 



MITCHELL'S PEAK PARK 219 

them, and unless some responsible party guarantees the purchase from them of the 
wood pulp and remaining salable timber (which is a very small quantity) on a 
stumpage basis, they will resume operations at once, and Mt. Mitchell will be left 
in the condition indicated in my telegram to you. 

I would suggest a consultation with Pearley and Crockett, when some means 
might be devised to bridge over the unpleasant possibilities. 

I thank you sincerely for your interest in this matter and remain, 

Yours very truly, 

J. "W. Dunn. 



Mb. J. ~W. Dunn, Ashevtlle, K C, June 22, 1914. 

Mitchell's Peak, N. C. 
Mt dear Me. Dunn : — I am intensely interested in Mitchell's Peak. It cer- 
tainly should be protected in its original grandeur and beauty. I have no authority 
whatever to forbid the cutting of the timber, or to guarantee the present owners 
any indemnity whatever on condition that they should refuse to cut the timber. 
I would be gratified, however, to have an interview with Messrs. Pearley & Crockett, 
and I am confident that the Legislature at the approaching session would make an 
arrangement satisfactory to them as to timber that they do not cut, and which 
was necessary for the preservation of the top of the mountain. You might sug- 
gest to them an interview. Yours sincerely, 

Locke Craig, 

Governor. 

A BILL TO BE ENTITLED AN ACT TO APPOINT A COMMISSION TO 
ACQUIRE A PORTION OF MOUNT MITCHELL, INCLUDING THE 
SUMMIT, AND TO PROVIDE FOR THE CREATION OF A PUBLIC 
PARK FOR THE USE OF THE PEOPLE OF THE STATE OF 
NORTH CAROLINA. 

Whereas, the summit ot Mount Mitchell in Yancey County is the greatest 
altitude east of the Rocky Mountains; and whereas, the head waters of many 
of the important streams of the State are at or near the said summit, and 
the forest is being cleared, which tends to damage and injure the streams 
flowing through the said State from the mountains to the Atlantic Ocean; 
and whereas, it is deemed desirable that this beautiful and elevated spot 
shall be acquired and permanently dedicated as a State park for the use of 
the people of the entire State seeking health and recreation; and whereas, 
unless the said land is acquired by the State at this time, the cost of acquir- 
ing it at a later date will be greatly increased, and the watercourses may be 
damaged and the beauty of the scenery destroyed by removing the growth 
therefrom, and irreparable damage accrue: Now, therefore, 

The General Assembly of North Carolina do enact: 

Section 1. That a commission is hereby created to consist of five prac- 
tical business men, who shall be appointed by the Governor, and which shall 
carry out the provisions of this act and shall be known as the "Mitchell 
Peak Park Commission." 

Sec. 2. That said commission shall be, and is hereby created a body poli- 
tic and corporate under the name and style of the "Mitchell Peak Park Com- 
mission." 



220 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Sec. 3. That the said commission shall have the power to fix the time and 
place of its meetings. Said commissioners shall hold office until the prop- 
erty hereinafter described shall have been purchased and a deed made to the 
State of North Carolina, and until they shall have made a report of the same 
to the General Assembly and shall have been discharged. In the event of the 
death or resignation of any member of said commission, his successor shall 
be appointed by the Governor. The said commissioners shall receive no 
compensation but their traveling expenses, including hotel bills, while act- 
ively engaged in the work of said commission, and these expenses shall be 
paid out of the funds hereinafter provided for: Provided, that the said com- 
mission shall under no circumstances expend or contract to expend a greater 
amount than that named in this act for the purchase of said land. 

Sec. 4. The said commission shall convene as soon as practicable and 
elect a chairman. The said chairman shall from time to time draw a war- 
rant or warrants upon the Treasurer of the State, which, after being 
approved and countersigned by the Governor and two other members of the 
commission besides the chairman, shall be paid by the said Treasurer to the 
owner of said lands purchased for the said purpose out of any funds not 
otherwise appropriated. 

Sec. 5. The total amount to be expended under this act shall not exceed 
$20,000, and the said sum of $20,000 is hereby designated as a maximum 
amount to be expended in the acquisition of the said properties; and the 
said commission is especially charged with the duty of acquiring as much 
of the lands as is possible for the purpose intended, not exceeding the maxi- 
mum amount hereinbefore designated. 

Sec. 6. Out of the funds so appropriated, the said Mitchell Peak Park 
Commission shall have power as soon as practicable, to acquire, either by 
purchase or condemnation, so much of Mount Mitchell, including the peak 
thereof, as they shall deem necessary as a suitable site for the purpose in- 
tended, and in the event of the purchase of said land, or lands, privately 
from the owner or owners thereof, the said commission shall take a deed to 
the State of North Carolina therefor. 

Sec 7. Whenever from any cause the said commission cannot agree with 
the owner or owners of the land which they shall select for the purpose of 
the park aforesaid, as to the price to be paid for the same, or for any part 
thereof, said land or lands may be taken at a valuation to be made by three 
competent and disinterested freeholders of the County of Yancey, one of 
whom, after due notice to the landowner of such proceedings, shall be 
chosen by the said commission, one selected by the landowner, and those 
two shall select a third; and in case the landowner refuses to select, then 
said commission shall select two, and these two shall select a third, and 
said freeholders, after being duly sworn by a justice of the peace of the 
county of Yancey, shall at once go on said land and proceed to condemn 
said land, or lands, and ascertain the sum which shall be paid the owner 
or owners of said properties, and report the same to the said commission, 
under their hands and seals, which report, on being confirmed by the said 
commission and spread upon their minutes, shall have the effect of a 
judgment against the said Mitchell Peak Park Commission; and upon pay- 
ing said sum to the landowner, or in the event of an appeal, upon paying 
said sum to the chairman of said commission to await the result of such 
appeal, shall pass title to the State of North Carolina of the land so taken: 
Provided, that if any person whose land is taken for the said purpose, or 
the said commission be dissatisfied with the valuation thus made, then, and 
in that case, either party may appeal to the next term of the Superior 



MITCHELL'S PEAK PARK 221 

Court of Yancey County within ten days from the filing of such report; 
Provided further, that such appeal shall not hinder the commission from 
taking possession of said property. 

Sec. 8. The Governor shall have power, upon complaint or upon his own 
motion, to remove any of said commissioners for negligence of duty or for 
any conduct unbecoming said commission and inconsistent with his duties 
under this act. 

The position of commissioner under this act shall not be construed to 
be an office within the meaning of Section 7, Article 14, of the Constitution 
of North Carolina. The said Mitchell Peak Park Commission shall make 
report to the Governor setting forth all purchases, condemnations and 
expenditures of every kind under this act. 

Sec. 9. This act shall be in force from and after its ratification. 



State of North Carolina 
Executive Department 
Raleigh 
Hon. G. P. Detton, March 31, 1915. 

Green Mountain, N. C. 
My dear Mr. Detton : — I have today appointed you one of the Commissioners 
to buy the State Park, including the summit of Mitchell's Peak, according to the 
provisions of the act of the last Legislature. I inclose you a copy of the act. The 
members of the Commission are : 

Hon. G. P. Deyton, Green Mountain, 
Mr. E. F. Watson, Burnsville, 
Mr. M. C. Honeycutt, Burnsville, 
Mr. Wilson Hensley, Bald Creek, 
Mr. T. Edgar Blackstock, Asheville. 

I hope very much that the owners will not charge an extravagant price for 
this land. The timber near the summit is of little value. The territory included 
in the park is valuable only as a resort for the public, and should be open to all 
the citizens of North Carolina, and to all the people of the earth, who wish to 
visit this famous mountain. 

I suggest that the Commission meet and organize in Burnsville as early as 
possible, and proceed with negotiations for the purchase of the park. All of the 
members of the Commission live in Yancey County except Mr. T. Edgar Black- 
stock, who lives in Asheville. You men in Yancey can communicate with him. 

I have appointed on this Commission men who are among the best citizens of 
the State, with the assurance that they will render the State and the people 
efficient service. I hope that you will accept this appointment. I know that you 
are a public-spirited citizen, and have at heart the welfare of the State and of our 
mountain section. In years to come I feel that the patriotic efforts of those who 
are connected with the establishment of this park will be remembered with appre- 
ciation. Your friend, Locke Craig, 

Governor. 

Note. — The above letter was sent to each member of the Commission, as follows: E. F. 
Watson, Burnsville; M. C. Honeycutt, Burnsville; Wilson Hensley, Bald Creek; T. Edgar 
Blackstock, Asheville. 



222 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

State of North Carolina 

Executive Department 

Raleigh 

Messrs. Pearlet & Crockett, March 31, 1915. 

Black Mountain, N. C. 

Gentlemen : — I have today appointed the commission to buy the park on the 
Black Mountain, including the summit of Mitchell's Peak. This is in accordance 
with and in furtherance of the negotiations had with you last summer. I inclose 
you a copy of the act under which the park is to be bought, and you will see that 
the act proposes to carry out our understanding. 

I greatly appreciate your consideration and generosity in stopping the cutting 
of the timber on the summit of the mountain. This enabled the State to preserve 
the mountain in its original grandeur and beauty. I very much hope that you 
and the commission can readily agree upon the price of your land, and that no 
condemnation proceedings will have to be resorted to. If such proceedings should 
be necessary, the value of the land will be arbitrated as suggested in our conver- 
sation last summer. 

With the highest regards, and assuring you of my appreciation for the kind- 
nesses that you have extended to me personally, and for the public spirit that you 
have manifested, I am, Yours sincerely, Locke Craig 

Governor. 



(XI) 
MOBILIZATION OF THE NATIONAL GUARD 



MOBILIZATION OF THE NATIONAL GUARD 

1. Telegram from War Department ordering mobilization of the 

National Guard, June 18, 1916. 

2. Statement for the press, June 23, 1916. Appointment of Gen- 

eral Laurence Young as Brigade Commander. 

3. Statement for the- press, June 21f, 1916, in regard to further 

appointments in the National Guard. 

4. Telegram to the President, June 28, 1916, and the President's 

reply thereto. 

5. Letter to Senator Simmons in regard to the North Carolina 

regiments going as one brigade. 

6. Order in which the troops were mobilized at Camp Glenn. 



(1) 

TELEGRAM FROM THE WAR DEPARTMENT ORDERING MOBILIZA- 
TION OF THE NATIONAL GUARD 

( Telegram. ) 
Hon. Locke Craig, Governor, Washington, D. 0, June 18. 

Raleigh, N. C. 

Having in view the possibility of further aggression upon the territory of the 
United States from Mexico, and the necessity for the proper protection of that 
frontier, the President has thought proper to exercise the authority vested in him 
by the Constitution and laws and call out the organized militia and the National 
Guard necessary for that purpose. I am, in consequence, instructed by the Presi- 
dent to call into service of the United States forthwith, through you, the following 
units of the organized militia and the National Guard of the State of North Caro- 
lina, which the President directs shall be assembled at the State mobilization point, 
Camp Glenn, Morehead City (or at the places to be designated to you by the Com- 
manding General, Eastern Department) for muster into the service of the United 
States : One brigade of three regiments of infantry, two troops of cavalry, one 
field hospital, one ambulance company. 

Organizations to be accepted into the Federal service should have the minimum 
peace strength now prescribed for organized militia. The maximum strength at 
which organizations will be accepted, and to which they should be raised as soon 
as possible, is prescribed in section 2, tables of organization, United States Army. 
In case any regiment, battalion or squadron now recognized as such contains an 
insufficient number of organizations to enable it to conform at muster to regular 
army organization tables, the organizations necessary to complete such units may 
be moved to mobilization camp and there inspected under orders of the department 
commander, to determine fitness for recognition as organized militia by the War 
Department. 

Circular 19, Division of Military Affairs, 1914, prescribes the organization 
desired from each State as part of the local tactical division, and only these organi- 
zations will be accepted into service. It is requested that all officers of the Adjutant 
General's department, quartermaster corps and medical corps, duly recognized as 
pertaining to State headquarters, under Table 1, Tables of Organization, Organized 
Militia, and not elsewhere required for duty in State administration, be ordered 
to camp as camp staff officers. Such number of these staff officers as the depart- 
ment commander may determine may be mustered into service of the United States 
for the purpose of proper camp administration, and will be mustered out when 
their services are no longer required. Where recognized brigades or divisions are 
called into service from a State, the staff officers pertaining to these units, under 
tables of organization, United States Army, will be mustered into service, and 
also the authorized inspectors of small arms practice pertaining thereto. 

Except for these two purposes of mobilization — camp service and of the pre- 
scribed staff service with tactical units — officers of State headquarters under Table 

15 



226 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

1, above mentioned, will not be mustered into service at this time. If tactical 
divisions are later organized tbe requisite additional number of staff officers with 
rank as prescribed for division staff will, as far as practicable, be called into 
service from those States which have furnished troops to such divisions. 

Newton D. Baker, 

Secretary of War. 



(2) 

STATEMENT FOR THE PRESS, JUNE 23, 1916. APPOINTMENT OF 
GENERAL LAURENCE YOUNG AS BRIGADE COMMANDER 

Governor Craig announced today that Brigadier General Laurence W. Young 
will command the First Brigade in the field under the call for North Carolina 
troops. This is in pursuance to General Order No. 9, dated June 1, 1916. 

Several months ago General B. S. Royster, Brigade Commander, in accordance 
with tbe advice of his physician, informed the Governor that his physical condi- 
tion would not permit his further command of the brigade. At the time that 
General Royster announced to tbe Governor tbe necessity of bis retirement he 
recommended General Laurence Young as his successor. At the request of the 
Governor, General Royster has consented to take charge of the office of Adjutant 
General, and will assume the duties of tbe position next week. 

Continuing, the Governor said : "Certainly I regret to lose General Young as 
my Adjutant General, for be has diligently and ably discharged bis duties. Should 
we have war with Mexico General Young will make a record that will bring pride 
to tbe State. He is a soldier by nature and education. But I deem myself for- 
tunate in being able to secure General Royster to fill this position of Adjutant 
General. General Royster is a gallant, accomplished soldier, as well as one of the 
foremost lawyers of the State. There is no man in tbe State that can fill this 
position better. When General Royster announced several months ago that he 
could not command the brigade in tbe field on account of his physical condition, 
it was with deep regret." 



MOBILIZATION OF TEE NATIONAL GUARD 227 

(3) 

STATEMENT FOR THE PRESS, JUNE 24, 1916, IN REGARD TO FUR- 
THER APPOINTMENTS IN THE NATIONAL GUARD 

Governor Craig made the following announcement today: 

"I have very few appointments to make in the National Guard. The soldiers 
of North Carolina are already organized. Official positions have been filled by 
me from time to time as vacancies occurred. The Guard goes into service as an 
organized body with officers already commissioned. It is only in cases of occa- 
sional vacancies on account of physical disability that I am called upon to make 
an appointment, and in most instances for these vacancies appointments are recom- 
mended by elections in the companies themselves. In all cases of appointment to 
fill vacancies preference will be given to the officers and soldiers of the Guard who 
have been identified with it for years, who have labored diligently and unselfishly 
to build it up. If places of honor are to be filled, these men of the Guard are 
entitled to them." 



(4) 

TELEGRAM TO THE PRESIDENT, JUNE 28, 1916, AND THE 
PRESIDENT'S REPLY THERETO 

Raleigh, 1ST. C, June 28, 1916. 
The President of the United States, 
Washington, D. C. 
The National Guard of North Carolina is ready to obey the orders of the 
President of the United States, and volunteers to go into Mexico or elsewhere as 
they may be ordered, regardless of the technical provisions of the Army Reorgani- 
zation Bill. Locke Craig, 

Governor. 

The White House 
Washington 
Hon. Locke Craig, June 28, 1916. 

Governor of North Carolina, 
Raleigh, N. C. 
My dear Governor Craig : — Thank you for your telegram of this afternoon 
and for your generous assurance as to the National Guard of North Carolina. 

Cordially and sincerely yours, 

Woodrow Wilson. 



228 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(5) 

LETTER TO SENATOR SIMMONS IN REGARD TO THE NORTH 
CAROLINA REGIMENTS GOING AS ONE BRIGADE 

State op North Carolina 
Executive Department 
Raleigh 
Senator F. M. Simmons, June 30, 1916. 

Finance Committee, 

Washington, D. C. 

My dear Senator Simmons : — We earnestly hope that the War Department 
will not break up the North Carolina Brigade by sending the separate regiments 
to different places. The soldiers would be much better satisfied if tbey were kept 
together, and I believe that they will do much better service, for if the whole 
brigade be kept together they will all feel that they represent the State, and will 
be enthused by a State pride and interest that they would not feel if the brigade 
were broken up. 

General Laurence W. Young has been appointed Brigadier General. He is a 
favorite with all the officers of the brigade, and with all the troops. Since the 
Spanish War he has engaged in civil occupation enough to make a living, but 
during that time his life has really been devoted to military duties, and he has 
made himself a most accomplished soldier. I believe that it would be hard to 
find a man that was better informed on military tastics, and better equipped as 
to military affairs than General Young. He has attended all the meetings of the 
Guard in various parts of the United States, has fought sham battles, has studied 
the military art, and informed and equipped himself thoroughly. 

I believe that all the officers of the brigade have signed a request that the 
brigade be not broken up, and that General Young be retained as the Brigadier 
General. There will be great dissatisfaction if this is not done. 

If there is any doubt about the situation, and if I can do anything toward 
retaining the unity of our brigade, I would like to go to Washington on Monday 
to see the President if I can, and the Secretary of War. 

I hope that on receipt of this you will wire me at my expense whether to come 
or not. 

I see that New York is making the same contention that North Carolina is, 
and it may be that the War Department has decided not to break up the brigades. 
It would certainly, in my opinion, be a mistake in North Carolina. If the War 
Department has decided not to break up the brigades there is of course no neces- 
sity for my going to Washington. Please let me hear from you on Saturday. 

There never was a set of young men that were more enthusiastic and more 
determined to make a record that would be an honor to the State than are the 
members of the National Guard of this State. They are anxious and ready to 
go to the front, and it is really hard to keep them home until the orders come. 
Please exercise your great influence in seeing that they are kept together. We 
will all appreciate it. If I can help you to a feather's weight I will do it, and 
am ready to go at any minute. Your friend, Locke Craig 

Governor. 



MOBILIZATION OF THE NATIONAL GUARD 229 

(6) 

ORDER IN WHICH THE TROOPS WERE MORILIZED AT 

CAMP GLENN 

First Regiment, North Carolina National Guard, arrived at Camp Glenn, June 

25, 1916. 

Second Regiment, North Carolina National Guard, arrived at Camp Glenn, 
June 28, 1916. 

Third Regiment, North Carolina National Guard, arrived at Camp Glenn, 
July 1, 1916. 

Cavalry arrived at Camp Glenn, July 1, 1916. 

Field Hospital No. 1 and Ambulance Co. No. 1 arrived at Camp Glenn, June 

26, 1916. 

Company A, Corps of Engineers, North Carolina National Guard, arrived at 
Camp Gleim, August 26, 1916. 

Company B, Corps of Engineers, North Carolina National Guard, arrived at 
Camp Glenn, September 21, 1916. 

Note. — The troops being duly mustered into the service of the United States, they 
were kept at Camp Glenn until September 23, when they were ordered to the Mexican bor- 
der. They began to move from Camp Glenn on September 23 under the direction of the 
War Department, and upon their arrival at El Paso they became a part of the Seventh 
Division, United States Army. 



(XII) 

RELIEF OF FLOOD SUFFERERS IN WESTERN 
NORTH CAROLINA 



RELIEF OF FLOOD SUFFERERS IN WESTERN NORTH 

CAROLINA 

1. Appointment of general relief committee and of local corrvr- 

mittees. 

2. Statement for the press. 

3. Letter sent to counties in flood-stricken district. 

4. General relief committee work. 

5. Resolutions of committee appointed by Governor Craig from 

the general relief committee. 

6. Letter sent to chairman of each county's working committee. 

7. Plan of organization. 

8. Statement to the press. 



(1) 

APPOINTMENT OF GENERAL RELIEF COMMITTEE AND 
OF LOCAL COMMITTEES 

State of North Carolina 

Governor's Office 

Raleigh 

A Proclamation by the Governor 

To the People of North Carolina: A great disaster has befallen a large region 
of our State ; hundreds of people are homeless and helpless. At this time I cannot 
describe the extent of the damage done by the unprecedented floods of July 15, 1916, 
nor can I undertake to portray the present and prospective suffering. By reason 
of the fact that Asheville has been cut off from communication with the outside 
world, I could not be as promptly and adequately informed of conditions as others. 
But I am now prepared to say that along our western streams, large and small, 
running eastward from Wilkes on the north to Rutherford on the south, in the 
mountains, the floods have swept away not only the homes and growing crops, 
hut even the lands themselves of hundreds, if not thousands, of our fellow men and 
women. They are in distress and many of them utterly destitute and helpless. 
Their all has been swept away in a night. 

Wow, therefore, I, Locke Craig, Governor of the State of North Carolina, am 
calling upon our generous people to respond to the cry of those who have been 
so terribly stricken. There is every reason to believe that many will for weeks 
have to be supplied with the necessities of life in order that they may be sustained 
until they can find a means of livelihood. It is but right that our entire people 
should share the burden, but reasonable that the people in regions of the State 
in which no damage was done, where crops were spared and homes undisturbed, 
should open their hearts in gracious giving. 

I understand that a number of local subscriptions have been started and that 
at least two relief committees have begun work. It is not my desire to interfere 
with their work. I take occasion, rather, to commend them. At the same time 
the disaster is so extensive, the work of relief so great, that I feel constrained to 
appoint a Committee of General Relief, and to authorize it to take subscriptions 
and to appropriate funds as needs appear. Every dollar shall be accounted for 
and every penny shall go to relieve actual need. I name the following citizens to 
constitute this committee: 

Edward E. Britton, Chairman Raleigh 

John A. Park Raleigh 

J. W. Bailey Raleigh 

E. L. Daughtridge Rocky Mount 

Julian S. Carr Durham 

Cameron Morrison Charlotte 

Santford Martin Winston-Salem 

A. M. Scales Greensboro 



234 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

Gerald Johnson Greensboro 

Nathan O'Berry Goldsboro 

Walker Taylor Wilmington 

A. D. Watts Statesville 

J. J. Farriss High Point 

M. H. Justice Rutherfordton 

John Sprunt Hill Durham 

E. C. Duncan Raleigh 

George A. Holderness Tarboro 

Hugh MacRae Wilmington 

John P. Bruton Wilson 

Clarence Poe Raleigh 

H. E. Fries Winston-Salem 

N. J. Rouse Kinston 

W. D. Turner Statesville 

R. M. Miller Charlotte 

E. B. Crow Raleigh 

B. F. Kilgore Raleigh 

James I. Johnson Raleigh 

James H. Pou Raleigh 

James R. Young Raleigh 

T. A. Uzzell New Bern 

D. Y. Cooper Henderson. 

Subscriptions may be sent to Edward E. Britton, chairman, Raleigh, N. C. 
I am sure our people, once they realize the distress of their fellow North Caro- 
linians, will be quick to pour out their money in this noble cause. 

Done in our city of Raleigh on this the twenty-second day of 

July, in the year of our Lord one thousand nine hundred and 

[State Seal] sixteen and in the one hundred and forty-first year of our American 

independence. LoCKE CraiG; Governor. 

By the Governor: 

May F. Jones, Private Secretary. 



(2) 
STATEMENT FOR THE PRESS, JULY 28 

Governor Craig reached Raleigh today at 12 :30. He was obliged to travel 
about eight hundred and fifty miles to get here, coming by Murphy, Knoxville. 
and Lynchburg. He expressed his great gratification at the liberality of North 
Carolinians and citizens of other States in giving to relieve the distress caused 
by the recent floods in the west. "This generosity," he said, "is of the genuine 
kind — no ostentation about it. The people of North Carolina are giving to the 
people in distress because they are prompted by a noble sentiment. A great 
calamity like this offers to those who have, an opportunity to justify their worthi- 
ness to have. In this time of universal prosperity we will not allow our neighbors 
and fellow-citizens to suffer in sudden adversity. We do not fully and definitely 
know the extent of the damage, nor the needs of the people, but this will be ascer- 
tained as expeditiously as possible. 



RELIEF OF FLOOD SUFFERERS 235 

"It. is certain that demands for relief in many sections are great and imperative. 
Funds are needed, and needed badly. We must continue to call earnestly upon all 
the people of the State, with an unfaltering faith that this call will meet with 
a generous response." 

Governor Craig said that the committee that he had appointed, with Mr. 
Edward E. Britton as chairman, had done splendid work, and had done it most 
earnestly and unselfishly ; that while he was in Asheville he kept in touch with the 
situation as best he could by telegraph and telephone, and he says that he could 
not have added anything to the work that has been done by this committee had he 
been present in Baleigh. 

Governor Craig stated that the city of Asheville had acted spontaneously and 
heroically for the relief of sufferers in that community. "At 10 o'clock on Sunday, 
July 16th," said he, "the waters reached the highest point in the valleys of the 
French Broad and the Swannanoa. On Sunday afternoon the citizens of Asheville 
met and raised sufficient money to meet all immediate demands. At 10 o'clock 
Monday morning there was a mass meeting held in the auditorium, at which 
$12,000 was contributed. The people were eager to give. The communities in that 
section were notified that the money contributed by Asheville would be applied 
to their relief. At this meeting there was no self -exploitation. Everybody was in 
earnest to meet the situation promptly and completely. Offers for outside assist- 
ance were politely declined with appreciation. The statement was made that 
Asheville was able to provide sufficient funds and that assistance from the outside 
could not be accepted until the people of Asheville had discharged their own obliga- 
tion. The town of Hendersonville sent word that it would provide for the sufferers 
at Bat Cave and Chimney Eock. Some relief was sent to these two villages from 
Asheville, but after the receipt of these messages Hendersonville looked after that 
section. 

"North Carolina is really one community — the whole State. "We are loyal to 
one another too, and this loyalty is not diminished by removal to other States, as 
evidenced by the sympathy and generosity of North Carolinians who now reside 
elsewhere. There are sections that cannot provide for themselves. The generosity 
of neighbors ought not to be taxed too much. The whole State is doing its duty 
in gladly coming to the relief of the distressed sections. I feel that whatever money 
is necessary to relieve the suffering in North Carolina will be furnished by the 
people of North Carolina, who are able to do it, and who are determined to help 
the ones that have been stricken down by this disaster. 

"We gratefully appreciate the benevolence manifested by North Carolinians in 
other States, and by others whose humanity makes them our kindred. We have 
accepted their gifts, sanctified by sympathy and kindness. 

"This spirit which has been manifested in our State inspires a feeling of exalta- 
tion in every man who loves the State and who believes in the nobility of her 
citizenship. The flood has visited communities with financial ruin, but it has 
called forth the higher sentiments of humanity whose value cannot be estimated 
in dollars." 



236 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(3) 
LETTER SENT TO COUNTIES IN FLOOD-STRICKEN DISTRICT 

State of North Carolina 

Governor's Office 

Raleigh 

August 10, 1916. 

Dear Sir: — The immediate necessities of the people who suffered in the moun- 
tain section by the recent flood have, as far as I know, been provided for. The 
conditions in many places are serious, and many of those who were left destitute 
must be looked after and helped for several months to come, especially during 
the winter season. 

Assurances coming to me from the generous people of North Carolina have 
convinced me that no one will be allowed to suffer on account of this unprecedented 
disaster. A considerable amount has already been contributed — altogether, as 
much as $75,000. The contributions that have come to the central committee have 
nearly always been accompanied by the statement that more would be given if the 
necessity of the situation should require. This giving has been spontaneous, without 
ostentation, and in the genuine spirit of kindness and sympathy. 

Several organizations have heretofore collected and administered funds. It 
seems to me most desirable that these funds contributed by the people of North 
Carolina should be systematically administered by one organization, unified and 
harmonious. I therefore submit to you the following plan, with the request that 
you make any suggestion in amendment thereto : 

1. The funds contributed by the people of the State to be under the control 
of the Central Executive Committee at Raleigh and apportioned to the various 
counties according to their needs. 

2. All funds apportioned by the central committee to be administered by a 
county committee constituted as follows: (1) a citizen of the county appointed by 
the -Governor; (2) the chairman of the board of county commissioners; (3) a 
citizen of the county appointed by the relief committee in the county. 

3. The citizen appointed by the Governor to be the chairman of the county 
committee, and administer the fund apportioned to the county in cooperation with 
the other members of the committee as they may deem proper. 

4. The county committee to report to the central committee. 

The work of relief as stated above will be prolonged for several months. We 
must provide that it be done systematically and effectively. 

Our best citizens have been prompt and eager to render service to the distressed, 
unselfishly and generously. 

Please let me hear from you. Yours sincerely, 

Locke Ckaig. 



RELIEF OF FLOOD SUFFERERS 237 

(4) 
GENERAL RELIEF COMMITTEE WORK 

Raleigh, August 11, 1916. 

The General Relief Committee for the Worth Carolina flood sufferers met in 
the offices of Governor Locke Craig at 12 o'clock, noon, Governor Locke Craig 
presiding. 

Judge P. C. Cocke was elected secretary. Upon motion of Cameron Morrison 
of Charlotte, the Governor was instructed to perfect an organization in each county 
for the purpose of distributing the State relief funds and the funds to be derived 
from the Government appropriation. The Governor was instructed to distribute 
and apply the State relief funds in such manner and in such ways as he should 
see fit. 

Major G. A. Youngberg of the corps of engineers of the United States Army, 
stationed at Charleston, S. C, read a report from the War Department at Wash- 
ington, in the matter of the work to be done under his direction in ISTorth Carolina. 
This report dealt with Government relief for the flood sufferers in all the counties 
of ISTorth Carolina except those counties in the French Broad Valley. Upon motion, 
Major Youngberg was instructed to confer with the War Department in an effort 
to have the French Broad Valley section included in the territory to be aided; 
the French Broad Valley section being in the Tennessee division of the engineering 
corps, the assistance for this district, it was intended by the War Department, to 
come from the Knoxville division. Major Youngberg read a copy of the resolution 
of the Congress of the United States appropriating $540,000 for flood sufferers. 

Mr. J. A. Evans, representing the Department of Agriculture at Washington, 
made a report of the manner and method of relief which the Department of Agri- 
culture was to render to the flood sufferers. 

Governor Craig, upon motion, appointed a working committee for each county 
affected by the recent floods. The said co mmi ttee to be composed of the chairman 
of the board of county commissioners, a member to be appointed by the relief 
committee of each county, and a member to be appointed by the Governor for each 
county; the member so appointed in each county by the Governor to be the chair- 
man of the committee in that county. This committee to have charge of the relief 
work in the county and to disburse the county's part of the State and Government 
funds. 

Mr. E. E. Britton moved that the thanks of this committee be extended to 
Secretary Baker of the War Department; to Secretary Houston of the United 
States Department of Agriculture, and their respective representatives, Major 
Youngberg and Mr. Evans, for their energy, zeal, and patriotism in promptly 
rendering assistance to the flood sufferers. This motion was unanimously adopted. 

Upon motion, a committee composed of C. M. Dickson, J. W. Pless, P. C. 
Cocke, and Henry B. Stevens was appointed by Governor Craig to draft resolutions 
denoting the appreciation of the General Relief Committee for the contributions 
made by the citizens of the State. 

The following chairmen were appointed for each county's working committee: 

Wilkes C. C. Wright Hunting Creek 

McDowell J. W. Pless Marion 

Burke J. Ernest Erwin Morganton 

Caldwell W. C. Newland Lenoir 



238 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 



Ashe C. M. Dickson Silas Creek 

Surry Alexander Chatham, Jr Elkin 

Avery Frank Edmondson Newlands 

Rutherford M. H. Justice Rutherfordton 

Transylvania John C. McMinn Brevard 

Henderson C. E. Brooks Henderson ville 

Yadkin W. A. Hall Yadkinville 

Watauga B. B. Dougherty Boone 

Alleghany R. A. Dough ton Sparta 

Alexander J. H. Burke Taylorsville 

Madison J. R. Sams Mars Hill 

Buncombe J. E. Rankin Asheville 

Mitchell W. L. Lambert Bakersville 

Polk J. C. Fisher Tryon 

Catawba W. A. Self Hickory 

Davidson Lee V. Phillips Lexington 

Davie M. J. Hendricks Cana 

Gaston R. K. Davenport Mount Holly 

Hickory Nut Gap Highway 
District Dr. Joseph Hyde Pratt Chapel Hill 

List of those present : 

T. L. Sigmon 
C. M. Dickson 
R. W. Collett 
F. A. Edmondson 
Judge H. B. Stevens 
W. S. Shytle 
W. J. Byerly 
A. C. Avery, Jr. 
E. Carl Duncan 
and Governor Craig. 

Upon motion, the meeting adjourned. 



W. M. McNairy 

A. G. Hendren 

B. W. Kilgore 

Maj. G. A. Youngberg 

E. E. Britton 

F. M. Rennells 
J. H. Allen 

B. F. Davis 
Judge P. C. Cocke 



C. C. Wright 
J. A. Evans 
C. R. Hudson 
W. C. Newland 
Cameron Morrison 
W. R. Hill 
Nathan O'Berry 
W. J. Martin 
J. W. Pless 

P. C. Cocke, Secretary. 



(5) 



RESOLUTIONS OF COMMITTEE APPOINTED BY GOVERNOR CRAIG 
FROM THE GENERAL RELIEF COMMITTEE 

"Whereas the appeal of the General Relief Committee to the people of ISTorth 
Carolina for aid for the flood sufferers has met with a patriotic response ; and 

Whereas funds have been generously contributed and services volunteered: 
Therefore, Be it 

Resolved, That for the people of the flood stricken district who are now almost 
helpless to speak and act for themselves, we, their representatives, here desire to 
express their heartfelt thanks. 

The generosity comes so spontaneously and freely that the sufferers accept 
it without wounds to the feelings of a proud people. These gifts wax rich because 
the givers are kind. C. M. Dickson, 

J. W. Pless, 
P. C. Cocke, 
Henby B. Stevens, 

Committee. 



RELIEF OF FLOOD SUFFERERS 239 

(6) 

LETTER SENT TO CHAIRMAN OF EACH COUNTY'S WORKING 

COMMITTEE 

State of North Carolina 

Governor's Office 

Raleigh 

August 15, 1916. 

My dear Sir: — A conference was held in my office on trie 11th. of August, 
attended by representative citizens from the counties damaged by the recent floods. 
After consultation with the gentlemen present, the plan of organization for the 
collection and disbursement of funds was adopted. I enclose you the plan. 

In accordance therewith I have appointed you chairman of the committee in 
your county. I hope that you will confer with the chairman of the board of county 
commissioners at once, and will see that the relief committee of your county appoint 
a member of your committee as provided in the plan of organization. 

Major Youngberg of the War Department was present at the conference in my 
office on August 11th. He has been placed in charge of the work east of the Blue 
Ridge, and I am expecting that the War Department will enlarge his jurisdiction 
so as to include the counties west of the ridge. 

Major Youngberg stated at the conference on August 11th that he had full 
authority from the Secretary of War to disburse this money under the provisions 
of the joint resolution adopted by Congress. He further stated that he would 
recognize the chairmen of the committees that I have appointed in the various 
counties as suitable persons through whom to disburse the money; that he would 
deposit with each one of them at any time as much as a thousand dollars for the 
expenditure of work on the roads that have been destroyed ; that they can proceed 
at once to the employment of men at the current rate of wages in each neighbor- 
hood to work upon the public roads ; that such bills would be promptly paid. I do 
not understand that Major Youngberg said, or meant to say, that a thousand 
dollars was the total that he would disburse for the benefit of any county. If the 
necessities require, more than that would be allotted to each county ; but he urged 
the careful and economical expenditure of this money. 

There is no reason why work should not begin upon the damaged roads without 
delay by all of the men in each community who desire employment. I hope that 
you will immediately begin work in your county, if the condition of the roads 
demand it, and that you will act, according to the enclosed plan of organization, in 
cooperation with the chairman of the board of county commissioners, and with 
the committeeman to be appointed by the relief committee of your county. Please 
keep me informed as to the needs of those who have been left destitute or in a 
condition to be assisted. 

You may be assured that the whole State recognizes with grateful appreciation 
the services which you are willing to render to the unfortunate people in this time 
of calamity. 

With the highest regards, Yours sincerely, 

Locke Craig. 



240 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(7) 
PLAN OF ORGANIZATION 

1. The funds contributed by the people of the State to be under the control of 
the Central Executive Committee at Raleigh, and apportioned to the various coun- 
ties according to their needs. 

2. All funds apportioned by the central committee to be administered by a 
county committee constituted as follows: (1) a citizen of the county appointed 
by the Governor; (2) the chairman of the board of county commissioners; (3) a 
citizen of the county appointed by the relief committee in the county. 

3. The citizen appointed by the Governor to be the chairman of the county com- 
mittee, and administer the fund apportioned to the county in cooperation with the 
other members of the committee as they may deem proper. 

4. The county committee to report to the Central Committee. 

NOTE. — On August 14th the Governor made a personal investigation of the flood- 
stricken districts, accompanied by Chairman Edward E. Britton and Mr. George Holder- 
ness of the General Relief Committee of the State. They were met at Greensboro by 
General Superintendent Simpson of the Southern Railway, who tendered them the use 
of his private car and accompanied them on their tour. The party visited North Wilkes- 
boro, Morganton, Marion, and Old Fort, and made various short stops along the route. 
At all stops they were welcomed by crowds who were eager to hear the Governor's mes- 
sage of cheer and assurance of help from the State and Federal Governments. Engineers 
were sent wherever needed, and the work of rebuilding and repairing the roads was 
immediately begun everywhere. Thousands of dollars were paid into the general relief 
fund by the people of the State, and this was added to by an appropriation by the Federal 
Government. 



(8) 
STATEMENT TO THE PRESS 

Asheville, August 16, 1916. 

Governor Locke Craig arrived in Asheville Wednesday night. He had made 
a tour of the districts in the State damaged by the high waters of July 16th. He 
says that he traveled fifty or sixty miles along the Yadkin River; that all of the 
crops on the fertile bottom-lands of that stream have been destroyed; that the 
land itself in many places had been swept away. He said that along his whole 
journey of the Yadkin he saw but one man at work in the field. There are no fields 
there to work in. The valley is a barren waste. 

The Catawba River was just as destructive as the Yadkin, if not more so. 
Immense landslides were washed out of the sides of the Blue Ridge, descending 
like mighty avalanches, crushing everything before them. There must have been 
on the Blue Ridge at this time a multitude of water-spouts. 

"I have never seen," said he, "a more beautiful nor a better cultivated country 
than was the North Cove of McDowell County on the North Fork of the Catawba. 
The lands were fertile, the farmers took delight in their beautiful fields. Now 
this valley is a desert of sand and rock. Fine residences were swept away and 
crushed; the humble homes of the poor are now in drifts along the banks of the 



RELIEF OF FLOOD SUFFERERS 241 

stream. In hundreds of instances everything that the tenant-farmer had was lost — 
his stock, his house, his furniture, his crop. He escaped with nothing except the 
clothes that the family wore. Many instances related to me are most pathetic. 

"One man with eleven children got his family to the hill in safety. He went 
back after something. The chimney of the house was knocked down by a drift; 
it fell on him and killed him. The wife and the brood of children stayed in the 
rain and darkness on the hillside all night, calling and trying to locate each other 
and the father. 

"In another case an infant was torn from the arms of its mother. Its little 
body was found in a drift twenty miles down the Catawba. 

"They told me of another case where a baby and a larger sister were caught 
by the waters and swept down into a drift, where they remained until late the next 
day. The baby was well and unharmed ! the sister, who held the baby in her arms, 
died shortly after the rescue. 

"Another man lost everything he had — home, land, and stock — except one crib 
of corn. He told his sons to keep five bushels for the family and to divide the other 
among the neighbors. 

"Many similar accounts of tragedy and sacrifice are given by the people in this 
stricken territory. 

"They have gone to work on their public roads, using the money appropriated 
by the General Government. The relief committees are doing a magnificent and 
unselfish work in all the counties. Every one is eager with sympathy and the 
helping hand, and ready to give as necessity requires. 

"Mr. Edward E. Britton, chairman of the relief committee of the State, and 
Mr. George Holderness, of Tarboro, accompanied me through the whole trip. Mr. 
Britton has done his work splendidly. He has omitted no detail. Mr. Holderness 
is one of the leading business men of eastern North Carolina. The people to whom 
he went appreciated his coming and his words of encouragement and sympathy. 
Large crowds greeted us at Wilkesboro, Morganton, Marion, and at places where 
the train stopped. 

"Mr. R. E. Simpson, general superintendent of the Southern Railway, carried 
us in his private car. He took personal supervision of the rebuilding the road 
from Winston-Salem to Wilkesboro. On the Sunday of the flood, at the head of 
his wrecking crew, he waded on foot through the mud and water, ankle deep to 
waist deep, from Donnaha to Wilkesboro, a distance of sixty miles, employing 
everybody along the way that would work, organizing squads to open the railroad 
as soon as possible, regardless of expense. He did open his road in ten days. 

"The Southern has shown the finest spirit of enterprise and determination in 
rehabilitating its destroyed lines. 

"I drove yesterday afternoon from Old Fort to Ridgecrest in a buggy. I 
understood that a work train would go over the road last night. 

"The C. C. and 0. Railroad, from Marion on to Johnson City, was severely 
injured. I do not know how much it suffered, but I have understood that they 
are working to build it again, and have thousands of men employed and the most 
improved machinery. They tell me that they have shown an energy and determina- 
tion similar to that exhibited by the Southern. 

"So far as I know, all cases of necessity have been ministered to in the stricken 
country. The winter is coming on. The money for relief continues to come in. 
If there be demands for larger amounts, I will let the people of North Carolina 
know it, and I am sure that they will come to the rescue." 

16 



(XIII) 
FISHERIES COMMISSION 



APPOINTMENT OF FISHERIES COMMISSION BOARD 

Until the present year the regulation of the fisheries of the State has been 
local, and by means of acts relating to fisheries that have affected simply local 
areas. The establishment of the Fisheries Commission for the State of North 
Carolina by the General Assembly is a recognition of the fact that this great 
industry is not merely of local interest, but of interest to the entire State as one 
of her greatest resources. Similar acts relating to the fisheries have been considered 
by previous General Assemblies, and in several instances came very near passing 
both houses. Governor Craig became interested in such an act at the beginning of 
his administration in 1913, and advocated a bill to establish a fisheries commission 
that was introduced in the General Assembly of that year. During the next two 
years he manifested in many ways his continued interest in the fisheries of the 
State, and it was his opinion that the best results in regard to their conservation, 
protection, and increased value were dependent upon an adequate law that would 
affect the State at large. He favored the bill that was introduced in 1915, and 
assisted in every way to bring it before the General Assembly. 

This bill authorized the Governor to appoint a fisheries commission board, con- 
sisting of five members, at least three of whom should be from the several fishing 
districts of the State. The General Assembly passed this bill, and it was ratified 
on March 4, 1915, and is entitled "An act to establish a Fisheries Commission to 
protect the fisheries of Worth Carolina." It will be found in chapter 84, page 102, 
Public Laws of 1915. 

In accordance with the provisions of this act the Governor, on April 7, 1915, 
named the following members as the Fisheries Commission Board : 

E. Chambers Smith, of Wake County For a term expiring June 1, 1917 

A. V. Cobb, ot Bertie County For a term expiring June 1, 1917 

F. T. Winslow, of Perquimans County... For a term expiring June 1, 1919 

W. M. Webb, of Carteret County For a term expiring June 1, 1919 

E. H. Freeman, of New Hanover County. For a term expiring June 1, 1919. 

The Governor recommended to this board that they elect Mr. H. L. Gibbs, of 
Hyde County, Fisheries Commissioner. Mr. Gibbs had previously held a position 
as Shell-fish Commissioner, and had made good in that place. 

The Commission met and organized, electing Mr. E. Chambers Smith chairman 
and Mr. A. V. Cobb secretary. Mr. H. L. Gibbs was elected Fish Commissioner. 

At a meeting of the National Association of Fish Commissioners held in Wil- 
mington, N. C, April 19, 1915, Hon. William C. Redfield, Secretary of Commerce, 
stated that in the passage of the act establishing the Fisheries Commission in North 
Carolina for the protection of the fisheries of the State, North Carolina now has 
the best fisheries act of any State in the Union. He further stated as his opinion 
that the full benefits of the act could not be obtained in a year or two, and, there- 
fore, it should be kept in force, and nothing done to repeal it, as by it the State 
would derive practically all the benefits that the Governor and others interested in 
its passage believed would accrue from it. 



(XIV) 
STATE HIGHWAY COMMISSION 



APPOINTMENT OF MEMBERS OF THE HIGHWAY COMMISSION 

The good roads movement in North Carolina was given such an impetus during 
the administration of Governor Craig that it has become a matter of vital interest 
to practically the entire State. 

The Governor was instrumental in bringing before the Legislature the need of 
a State highway commission. The act creating this commission was passed by the 
General Assembly of North Carolina in 1915, and is one of the most important 
and constructive acts passed by them in the past four years. This act is entitled 
"An act to create a State Highway Commission," and will be found in chapter 113, 
page 186, of the Laws of 1915. It was ratified on the 5th of March, 1915. The 
act provided, that the Governor should appoint on the said commission a citizen 
from the eastern part of the State, one from the central, and one from the western. 
It further provided that one of these appointees should be a member of the minor- 
ity political party. Accordingly, on March 13, 1915, the Governor appointed the 
following as members of the State Highway Commission : 

Hon. E. C. Duncan of Carteret County, 
Col. Bennehan Cameron of Durham County, 
Hon. Guy V. Roberts of Madison County. 

The act further provided that the Governor designate as members of this com- 
mission a professor of the University of North Carolina and a professor of the 
A. and M. College. He accordingly appointed, on March 13, 1915 : 

Prof. Marvin Hendricks Stacey of the University of North Carolina, 
Prof. W. C. Biddick of the College of the A. and M. Arts, 
Prof. M. H. Stacey, later resigned, and 

Prof. T. F. Hickerson of the University of North Carolina was appointed 
in his stead. 

The act further provided that the Governor should be a member of the com- 
mission, and also the State Geologist. 

Therefore the State Highway Commission, as constituted by the act of the 
Legislature and by appointment of the Governer, was composed as follows: 

The Governor, 

Dr. Joseph Hyde Pratt (State Geologist), 

Prof. T. F. Hickerson, 

Prof. W. C. Biddick, 

Hon. E. C. Duncan, 

Col. Bennehan Cameron, 

Hon. Guy V. Boberts. 

The first meeting was held on March 21, 1915, in the office of the Governor, 
who called the meeting to order. It was organized by the unanimous election of 
the Governor as chairman and Dr. Joseph Hyde Pratt as secretary. 



250 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

The work which this commission has been able to do since its organization has 
proved conclusively its value to the State in the general road work. 

During his administration Governor Craig has been closely identified with the 
road work of the State, and he has assisted in every way possible in obtaining 
results from the various road bills that were passed by the General Assemblies of 
1913 and 1915. He advocated and urged the passage of the bills authorizing the 
use of the State's prisoners in the construction of public roads — notably in the 
construction of the Hickory Nut Gap Highway in Henderson County and links 
of the Central Highway in McDowell County and in Madison County. 



(XV) 
SUPPLEMENTAL PAPERS 



Note. — Public papers issuing from the office of the Governor after the preceding mat- 
ter had gone to press. 



SUPPLEMENTAL PAPERS 

1. Employment of additional counsel in suit of Republic of Cuba 

v. State of North Carolina. 

2. Cuba withdraws her application to file suit in the United 

States Supreme Court, and message of the Governor an- 
nouncing the fact to the General Assembly. 

3. Resolutions of the General Assembly in regard to withdrawal 

of petition by the Republic of Cuba, and expression of appre- 
ciation for services of Senator Overman. 

4. Appropriation from earnings of the State's Prison to families 

of prisoners. Statement for the press, December 22, 1916. 

5. General Julian S. Carr requested to act as chairman and form 

committee for erection of monument on Mitchell's Peak. 
Statement for the press, December, 1916. 



(1) 

EMPLOYMENT OF ADDITIONAL COUNSEL LN SUIT OF REPUBLIC OF 
CUBA V. STATE OF NORTH CAROLINA 

(Telegram) 

Governor Locke Craig, Washington, D. C, January 2, 1917. 

Raleigh, N. C. 
Think it important to employ Mr. Charles Henry Butler to appear in the bond 
ease. Will appear for a nominal fee, not to argue ease in the Supreme Court, but 
in bringing out certain information which in my judgment will absolutely settle 
the matter favorably to the State, on account of his association with certain 
diplomats here. He has already gotten certain valuable information, but does not 
wish to go further unless nominally employed. Lee g_ Overman. 



(Telegram) 

Senator Lee S. Overman, Raleigh, U. C, January 2, 1917. 

Washington, D. C. 
I authorize and request you to employ Mr. Charles Henry Butler in the bond 
case on such terms as to you may seem just and proper. Locke Craig 

Governor. 



(2) 

CUBA WITHDRAWS HER APPLICATION TO FILE SUIT IN THE UNITED 

STATES SUPREME COURT, AND MESSAGE OF THE GOVERNOR 

ANNOUNCING THE FACT TO THE GENERAL ASSEMBLY 

(Telegram) 

Governor Locke Craig, Washington, D. C, January 5, 1917. 

Raleigh, N. C. 
Being informed, from the recent debate on the floor of the Senate, for the first 
time of the real character of the North Carolina repudiated bonds, the Cuban 
Government informed me this morning that these bonds were donated by American 
bondholders to a charitable institution in Cuba and not to the Cuban Government, 
and that the Republic of Cuba had revoked the decree authorizing the suit against 
the State of North Carolina to validate these bonds. Lee S. Overman. 



254 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(Telegram) 

Goveenoe Locke Ceaig, Washington, D. C, January 5, 1917. 

Raleigh, N. C. 
The following is the decree issued by President of the Republic of Cuba 
referred to in my conversation with you over the 'phone this afternoon : 

"The minister of Cuba to the United States is authorized to make public 
that the President of the Republic of Cuba has dictated a decree in date of 
January 4, 1917, the more important part of which is as follows: 

" 'Whereas, the necessary claim for the payment of said bonds 
and coupons has been presented to the Supreme Court of the United 
States; 

" 'Whereas, by the terms in which the question is presented the 
Government does not hold convenient to its interests and ends to 
continue the suit begun against the State of North Carolina for the 
payment of said bonds and coupons:' 

"At the proposal of the Secretary of Justice I resolve to revoke and leave 
without force the decree, No. 1438, of July 24, 1916, and therefore, without 
effect the appointment therein made, as attorneys, of Messrs. Marcus H. 
Burnstine and Guillermo Portela Y. Moller, to whom this shall be made 
known, to the proper objects and consequences. 

"The Secretary of Justice is encharged with the execution of this decree." 

The Minister of Cuba to the United States is also authorized to state that the 
claim has been made only by the Department of Public Health and Charities, 
though, according to law the President and the Secretary of Justice were called 
upon to give the powers of attorneys for the presentation of the claim. 

Lee S. Oveeman. 



State of !N~oeth Caeolina 

Executive Depaetment 

Raleigh 

To the Honorable, the General Assembly of North Carolina: 

I have the honor to inform you that President Menocal of the Republic of 
Cuba has issued a decree ordering the withdrawal of the petition which the Repub- 
lic of Cuba recently filed in the Supreme Court of the United States with the view 
of enforcing the payment by the State of North Carolina of Reconstruction Bonds 
amounting to more than two million dollars. 

I have received from Senator Overman the following telegram : 

"Being informed, from the recent debate on the floor of the Senate, for 
the first time of the real character of the North Carolina repudiated bonds, 
the Cuban Government informed me this morning that these bonds were 
donated by American bondholders to a charitable institution in Cuba, and not 
to the Cuban Government, and that the Republic of Cuba had revoked the 
decree authorizing the suit against the State of North Carolina to validate 
these bonds." 

The decree of President Menocal is as follows : 



SUPPLEMENTAL PAPERS 255 

"The minister of Cuba to the United States is authorized to make public 
that the President of the Republic of Cuba has dictated a decree in date of 
January 4, 1917, the more important part of which is as follows: 

" 'Whereas, the necessary claim for the payment of said bonds 
and coupons has been presented to the Supreme Court of the United 
States; 

" 'Whereas, by the terms in which the question is presented the 
Government does not hold convenient to its interests and ends to 
continue the suit begun against the State of North Carolina for the 
payment of said bonds and coupons.' 

"At the proposal of the Secretary of Justice, I resolve to revoke and leave 
without force the decree, No. 1438, of July 24, 1916, and therefore, without 
effect, the appointment therein made as attorneys, of Messrs. Marcus B. 
Burnstine and Guillermo Portela Y. Moller, to whom this shall be made 
known, to the proper objects and consequences. 

"The Secretary of Justice is encharged with the execution of this decree. 

"The minister of Cuba to the United States is also authorized to state 
that the claim has been made only by the Department of Public Health and 
Charities, though, according to law, the President and the Secretary of 
Justice were called upon to give the powers of attorneys for the presentation 
of the claim." 

On Tuesday, the 2d day of January, Senator Lee S. Overman, of Worth Caro- 
lina, introduced a resolution in the Senate of the United States for the purpose 
of instituting an inquiry to ascertain how and from whom the Republic of Cuba 
secured these bonds. In his remarks to the Senate on the resolution, Senator 
Overman strongly set forth the lawless constitution of the General Assembly that 
provided for their issue, and the dishonesty and debauchery of the whole scheme. 

The discussion by Senator Overman on the floor of the Senate gave wide pub- 
licity to the character of the bonds, to their dishonor and repudiation by the State 
of North Carolina. 

When, from this discussion, the Government of Cuba became informed of the 
facts, the President of Cuba dictated the decree above set forth, revoking the 
authority for bringing the suit against the State of North Carolina, and directing 
that the petition be withdrawn. 

We are deeply gratified that the Eepublic of Cuba has refused to participate 
or be a party to the methods that have been employed by the holders of these dis- 
honored bonds. We have had an abiding interest and fraternal feeling for the 
people of Cuba, and in the war for her emancipation our soldiers bore a conspicu- 
ous part. With pride and gratification we have watched the development of the 
Island Eepublic, and rejoice now that she has generously and gladly removed all 
cause of any estrangement between us. 

We hoped from the beginning that the Republic of Cuba was imposed upon 
as to the facts of these bonds before filing this petition in the Supreme Court of 
the United States. 

We rejoice that Cuba, as the States of the Union, after ascertaining the facts, 
has refused to be a party to the unrighteous transaction. 

The attorneys for the State were confident of prevailing in the action before 
the Supreme Court of the United States if tried to a conclusion. They had pre- 
pared the case for presentation with diligence and ability, and had filed briefs 
which gave evidence of profound thought and of long and thorough research. 



256 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

The determination of the Republic of Cuba to withdraw this action accom- 
plishes substantially what we would have secured by a favorable judgment in the 
Supreme Court. By the action of Cuba we have obtained this satisfactory result 
without the uncertainty and large expense of a lawsuit. 

The State of North Carolina acknowledges with gratitude the high sense of 
duty of Senator Overman to her, and his valuable services in this situation fraught 
with anxiety and danger. The resolution and the discussion by him in the United 
States Senate, and the subsequent withdrawal of the action by the Republic of 
Cuba, has given international publicity to the invalidity and the dishonor of 
these bonds. 

This action by Senator Overman is characteristic of the alertness and devotion 
of the State's representatives at Washington to her every interest. 

Locke Craig, 
January 5, 1917. Governor. 



(3) 

RESOLUTIONS OF THE GENERAL ASSEMBLY IN REGARD TO WITH- 
DRAWAL OF PETITION BY THE REPUBLIC OF CUBA, AND 
EXPRESSION OF APPRECIATION FOR SERVICES 
OF SENATOR OVERMAN 



Resolved by the House of Representatives, the Senate Concurring: 

Whereas, we learn with much gratification through the message of his Excel- 
lency, the Governor of Worth Carolina, that his Excellency, Mr. Menocal, Presi- 
dent of the Republic of Cuba, has dictated a decree withdrawing the petition filed 
by the Republic of Cuba in the Supreme Court of the United States for the pur- 
pose of enforcing the payment by the State of North Carolina of more than two 
million dollars of "Reconstruction Bonds"; and 

Whereas, this action by the Republic of Cuba was taken voluntarily and 
promptly as soon as the Republic of Cuba became acquainted with the character 
of the bonds, and the circumstances under which they were isssued ; 

Now, therefore, be it Resolved: 

Section 1. That we hereby tender to our sister Republic of Cuba our profound 
thanks for her patriotic action touching this matter so important to the interests 
of the State of North Carolina. 

Sec. 2. That we hope that the cordial relations between the Republic of Cuba 
and all of the States of the Union may continue to the welfare of both countries. 

Sec. 3. That we hereby tender to Senator Lee S. Overman our profound thanks, 
and an expression of our admiration for his patriotic and successful services ren- 
dered the State of North Carolina in bringing to an end satisfactory to the State 
this lawsuit brought by the Republic of Cuba. 

In the General Assembly read three times and ratified this the 5th day of Jan- 
uary, 1917. 



SUPPLEMENTAL PAPERS 257 

(4) 

APPROPRIATION FROM EARNINGS OF THE STATE'S PRISON TO 

FAMILIES OF PRISONERS. STATEMENT FOR THE 

PRESS, DECEMBER 22, 1916 

Governor Craig made the following statement : 

"The Board of Directors of the State's Prison have passed a resolution appro- 
priating a sum of money necessary to give ten dollars to the dependent and needy 
families of the prisoners confined in the State's Prison. This resolution was 
passed by the unanimous vote of the Board of Directors, on the recommendation 
of the Governor. 

"During my administration the State's Prison has been more prosperous and 
successful, I believe, than ever before. It has made clear, above all expenses of 
every kind, about $400,000. The State gets the benefit of this large surplus. These 
net earnings of the prison have been due to wise and economical management, and 
have been earned by the labor of the prisoners. 

"The farm has been managed well, and has succeeded beyond precedent. Many 
prisoners have been hired out to the Hardaway Construction Company, at the price 
of $1.50 and $2 a day, under the supervision of the prison. 

"While the prisoners have been earning this money for the State the dependent 
families of most of them have been in hard circumstances for the necessities of 
life. It seems to me but just, and it seemed to the Prison Board but just, that a 
small sum should be appropriated by the Board and donated to the dependent 
families who are in need. A large amount could not be given to each family — it 
would aggregate too much, and then it might be wasted. Under this resolution 
six hundred and fifteen families will be aided, making the total of $6,150. 

"The hardships of winter press upon the poor. 

"In this time of universal prosperity, in these days of general rejoicing and 
benevolence this gift from the Directors of the Prison Board will relieve some 
suffering in the lowly homes of the unfortunate, and may be to all a testimonial 
that the State remembers them in sympathy. 

"The appropriation of this money made by the Prison Board may be some 
stretch of legal authority, but every citizen of this State can be assured that if the 
Legislature should disapprove of this appropriation, or, if by legal process, any 
citizen of this State should demand its return to the treasury of the prison, every 
dollar of it will be returned with promptness. 

"I will bring this subject to the attention of the General Assembly, and make 
recommendations in accordance with the action of the Board of Directors of the 
State's Prison, with the view that the subject may be systematically managed." 

The Governor stated that he would further recommend to the General Assem- 
bly that the Directors of the State's Prison retain a sufficient amount of the earn- 
ings of the prison to construct a modern prison at the State farm, equipped for 
the best management and care of the prisoners. 



258 LETTERS AND PAPERS OF GOVERNOR LOCKE CRAIG 

(5) 

GENERAL JULIAN S. CARR REQUESTED TO ACT AS CHAIRMAN AND 

FORM COMMITTEE FOR ERECTION OF MONUMENT 

ON MITCHELL'S PEAK. STATEMENT FOR 

THE PRESS, DECEMBER, 1916 

Governor Locke Craig yesterday appointed Gen. Julian S. Carr, of Durham, 
chairman of the Mitchell Monument Committee. Under this commission General 
Carr will have complete management and control of the building of a monument 
to Dr. Elisha Mitchell on the summit of the mountain which hears his name. The 
General will, if he desires, appoint a committee composed of such persons as he 
may select, and to the number that he may deem advisable, to assist him in securing 
the monument, the design for it, and the erection of it. 

"I am delighted that General Carr has consented to take charge of this work," 
said Governor Craig yesterday. "It would not be too much to say that he is the 
most generous and public-spirited citizen of the State. He has always been most 
generous to every noble purpose, and all the people of North Carolina love and 
admire him. 

"Since he has consented to undertake the building of this monument, we all 
know that it will be done, and most handsomely done. This mountain is the most 
conspicuous place in eastern America. Tens of thousands of tourists are visiting 
it every summer. The number will rapidly increase as the facilities of transporta- 
tion are improved, and as the surpassing grandeur of the mountain becomes better 
known. 

"General Carr is a native of Chapel Hill, a graduate of the University of 
North Carolina, at which Dr. Mitchell did his life-work, and won his fame. While 
professor at the University Dr. Mitchell explored the mountains of western North 
Carolina in connection with his teaching of geology, and ascertained that Mount 
Mitchell was higher than Mount Washington, and the highest land east of the 
Mississippi. 

"When Dr. Mitchell lost his life on the mountain General Carr was a lad living 
at Chapel Hill. He often saw the great old doctor, and knew of his ability and 
fine personality. General Carr has always been a devoted son of his alma mater 
and an admirer of Dr. Mitchell. The erection of this monument on Mitchell's 
Peak will be to him a task of love and patriotism. He will be identified with this 
place and this monument, and the people of North Carolina will acknowledge their 
debt of gratitude. The monument will preserve from any possible desecration the 
grave of Dr. Mitchell, and will stand as a suitable memorial on this sublime 
height." 



$> 



*Mi 



3& 



A 



i